I’m not sure I understand this
Posted by TFG on March 26th, 2008
Motorola hits redial on handset biz | Tech news blog - CNET News.com
On Wednesday, the company, whose cell phone business has been in a death spiral for several quarters, announced that after a two-month formal analysis, it has decided to split the company into two publicly traded entities.
One will handle handsets and accessories while the other will continue to concentrate on wireless broadband and enterprise communication products.
“Creating two industry-leading companies will provide improved flexibility, more tailored capital structures, and increased management focus–as well as more targeted investment opportunities for our shareholders,” CEO Greg Brown said in a release.
The Mobile Devices business will handle the designs, manufacturing, and sales of mobile handsets and accessories, and will license a portfolio of intellectual property. The Broadband & Mobility Solutions business will handle service voice and data communication solutions and wireless broadband networks for enterprises and governments. It will also handle IP video, cellular, and high-speed broadband network infrastructure, and cable set-top receivers.
No, wait…I actually do. One part of the company is going to design handbags for sale to rich ladies, and the other part is going to do things that make the world keep running.
The sad thing? The handbag people will probably get rich beyond their wildest dreams. Morlocks and Elois.
March 26th, 2008 at 9:52 pm
OTH it could be just lies to keep the stock price, such as it is, up a while longer.
March 27th, 2008 at 8:31 am
I think it means that they people at the top aren’t really sure which is going to work. If they were sure both would be successful they would keep everything. Since they aren’t, they want to get rid of the one that’s going to fail, but which one is it. If you know you have a loser you get rid of it, end of story.