Motorola today split itself into two halves. The more volatile consumer cell phone business is now called Motorola Mobility. While the much more stable commercially focused radio, barcode scanner, and cellular network business is now Motorola Solutions. Both are trading as separate entities on the NYSE. Both of which were up today. So, why do I think that one half will die? When it comes to the cell phone business, Apple and to a lesser extent RIM and anyone who makes an Android phone have already shoved Motorola out of the market. Face it, the high water mark for Motorola was the flip phone. It’s been all downhill from that point onwards and is facing a slow death. The Motorola Solutions half is much more stable from a business perspective, so I think that will be around for a long time. So perhaps this is an easy way for Motorola to get rid of a business that would eventually kill it outright.
We’ll see in a year or two. But I think I’ll be right on this one.
Advertisement
Like this:
Be the first to like this post.
This entry was posted on January 4, 2011 at 7:43 pm and is filed under Commentary with tags Motorola. You can follow any responses to this entry through the RSS 2.0 feed
You can leave a response, or trackback from your own site.
Motorola Splits Itself In Two…I See One Half Dying
Motorola today split itself into two halves. The more volatile consumer cell phone business is now called Motorola Mobility. While the much more stable commercially focused radio, barcode scanner, and cellular network business is now Motorola Solutions. Both are trading as separate entities on the NYSE. Both of which were up today. So, why do I think that one half will die? When it comes to the cell phone business, Apple and to a lesser extent RIM and anyone who makes an Android phone have already shoved Motorola out of the market. Face it, the high water mark for Motorola was the flip phone. It’s been all downhill from that point onwards and is facing a slow death. The Motorola Solutions half is much more stable from a business perspective, so I think that will be around for a long time. So perhaps this is an easy way for Motorola to get rid of a business that would eventually kill it outright.
We’ll see in a year or two. But I think I’ll be right on this one.
Share this:
Like this:
This entry was posted on January 4, 2011 at 7:43 pm and is filed under Commentary with tags Motorola. You can follow any responses to this entry through the RSS 2.0 feed You can leave a response, or trackback from your own site.