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In 2009 Motorola will split in two

In 2009 Motorola splits in two
Today, Motorola officially announced that its Board of Directors has initiated the process of separating the company, with the idea to create two independent, publicly-traded businesses. One of the new, stand-alone companies will be Motorola’s Mobile Devices business, and the other will include the company’s Broadband & Mobility Solutions business.

According to Greg Brown, Motorola’s president and chief executive officer, this will allow for “increased management focus - as well as more targeted investment opportunities for our shareholders.” The mobile device division is also looking for a new chief executive, to help the new company get back on its feet and start delivering better products. The separation of the company, which is expected to take place in 2009 (if consummated) will be in the form of a “tax-free distribution to Motorola’s shareholders, subject to further financial, tax and legal analysis.” Motorola said that there can be no guarantees that the transaction will take place. Currently, there is no information on what the names of the new companies would be.

source: Motorola

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