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Motorola Phone Sales Down 45 Percent, Banking on Android Phones
      #33823 - 07/30/09 07:32 PM

Motorola released its quarterly results. Mobile Devices segment sales were $1.8 billion, down 45 percent compared to the year-ago quarter. The GAAP operating loss was $253 million, compared to an operating loss of $346 million in the year-ago quarter. The segment reduced its operating loss by 50 percent sequentially from $509 million in the first quarter of 2009.

Mobile Devices highlights:

* Shipped 14.8 million handsets; estimated global handset market share of 5.5 percent
* Continued progress on differentiated smartphone devices targeted to launch in the fourth quarter of 2009
* Launched the CDMA Rival A455, a side-slider with one-touch messaging access and QWERTY keyboard; and the 3G Karma QA1, a slide-out QWERTY with one-click access to Facebook and MySpace
* Launched the iDEN Clutch i465, Motorola?s first device that combines the power of push-to-talk and the convenience of a QWERTY keyboard

Sanjay Jha, co-CEO of Motorola and CEO of Mobile Devices, said, "We have agreements in place with carriers and remain on track to bring our new smartphone devices to market for the holiday selling season. We are also excited about our 2010 portfolio and are pleased with the customer feedback. In Mobile Devices, we improved the operating loss, reflecting a lower cost structure, and substantially reduced cash consumption as compared to the first quarter.?

Motorola is banking on the release of several Google Android-based phones to saves its mobile device business. A few days ago, the company opened advanced Android development resources through MOTODEV, including a new App Accelerator Program and MOTODEV Studio for Android Beta. MOTODEV will offer developers early access to a new suite of Google Android developer tools and programs, along with the opportunity to attend the next MOTODEV Summit in San Diego, CA, on October 6, for advanced training and information-gathering. The program is intended to accelerate the development of applications to be used on Motorola?s mobile devices using the Android operating system scheduled to ship later this year.


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