Farewell, Motorola on
Just 10 years ago, Motorola has been a leading example of advanced technology and
excellent representatives of the world&#39;s most respected companies to enjoy
one of the respected status. It is unprecedented manner once every 10 years would
create an industry, some 10 years has also created two. But these industries thrive,
into the mature stage of oligopolistic competition, it has suffered a major setback after
The last 10 years, it has pulled out of his own to create a semiconductor, automotive
electronics - these operations in the hands of its predicament, it often came to life
when doing nothing. The latest indications that Motorola is likely to give up its
mobile phone business. If this unfortunate news is really a reality, it retreated to two
small B2G, B2B market, no longer is a B2C company. The U.S. &quot;national
treasures&quot; of how the company come this far?
In the history of the worst weeks
May 9, precarious Motorola shares closed to 9.76 U.S. dollars, the total market value
of 22.011 billion U.S. dollars, about the highest point of its shares (after stock Year by
2000 computing) 58.33 U.S. dollars when the 1 / 6. From below 10 U.S. dollars by
the end of February this year after the company&#39;s stock price has remained
at its lowest point 5 years, revenue has dropped to four-year low. Even after the
bubble burst in 2000, its share price lower than it is now only about one U.S. dollar.
While its rival Nokia on May 9 is the market value of 108.872 billion U.S. dollars,
with annual sales of about twice as high.
Of course, maybe soon, Nokia will only it &quot;had the&quot; rivals.
March 26, Motorola announced it would split into two separate listed companies,
including a focus on mobile communications equipment business, mainly to carry out
another broadband and mobile communications solutions business, split completed in
2009. While many people expected, but the message is still explosive. As the inventor
of mobile phones and mobile communications 10 years ago, the overlord, the
company finally make most people stick to their own products, lost.
Relatives or more than sad, others have songs. This spin-off will not only Carl Icahn
(Carl Icahn) Motorola shareholders represented somewhat liking, would make it the
same cluster communication and set-top box business unit managers a relief for the
government&#39;s public sector trunking services 1.2 billion profit last year, just
can all be used to fill the 1.2 billion mobile phone business losses.
Since not each other, it would sooner forget themselves in rivers and lakes. But look
to the future, who knows what the separation of Motorola are good or bad then?
&quot;I feel at least the company&#39;s employees are not willing to
&#39;Motorola&#39; the brand for decades on such a separation, then if the
agreed split Gerstner IBM, there is no today, IBM has.&quot; A Motorola
trunking services Department staff on the &quot;Business Weekly&quot;
said. If the mobile phone sector divestments, who can imagine that Motorola, the
semiconductor giant has been dominant and mobile communications, what is left?
It is difficult to take into account the reality of the future, the immediate question is
who will take over when Motorola&#39;s handset business.
&quot;Fortune&quot; magazine published an article, said rumors of the
buyers are neither Nokia, Sony Ericsson or Samsung and other industry giants, not the
emerging mobile phone manufacturers from China, ZTE, Huawei, but
India&#39;s largest consumer electronics manufacturer Videocon. To be sure,
the price is not high. Money manager Chad Brand (Chad Brand), wrote in a blog,
Motorola cell phone business divestiture, the set-top boxes, wireless devices and
walkie-talkies and other remaining business, valued at approximately 8 U.S. dollars
per share, while Motorola&#39;s share price has nine U.S. dollars hovered
around this calculation, the valuation of mobile phone business only about one U.S.
dollar per share. Glory of the old mobile phone giant, the head is affixed to let some
low-cost means of straw.
&quot;This may be Motorola&#39;s 80-year history, the worst for a
week.&quot; &quot;Fortune&quot; magazine.
Resignation from the post of CEO, the Aidezhande (Ed Zander) will step down as
chairman of Motorola, who will take over the mess left behind Aidezhande the
suspense has been solved, the answer is the former chairman of AT &amp; T
CEO, David Dorman. Head of Motorola handset business is still hanging and yet, not
yet well-known industry professional managers have expressed interest. Piece of the
&quot;Hard&quot; really hard enough, the first quarter of 2008, sales of
mobile terminals business unit operations down 39% year on year, operating loss of
418 million U.S. dollars, the entire quarter, only 27.4 million handsets sold (compared
to 2007 45.4 million). Currently, Motorola&#39;s global handset market share
fell to 9.5%, less than Nokia (41%) 1 / 4, and behind Samsung and living in third,
followed by LG in the first quarter the distance from its only 3 million Taiwan
Citigroup credit analyst David Hamberger (David Hamburger) warned:
&quot;Unless a strong improvement of Motorola&#39;s operation, or the
fastest in the year, the company&#39;s stock may be reduced from investment
grade to &#39;waste hierarchy&#39;.&quot;
History of the cattle in the open letter
Leigebulang and David Dorman are stressed, they have to quickly raise the value of
all Motorola shareholders. In particular, these words appear at this time to listen to
flattery. March 24 is forced to the second largest shareholder Carl Icahn to the courts
to require Motorola to submit relevant documents of its Board of Directors has
determined whether there is dereliction of duty, two days after Motorola announced it
was splitting. Icahn in the &quot;one battle&quot; for nearly 1 year after the
last part of its purpose. Last year, after getting the first quarter earnings, Icahn decided
to take action to curb the continuous depreciation of their property. He was holding
2.9% of Motorola shares. Motorola continues to decline in performance and price so
that it suffered heavy losses.
The 71-year-old billionaire wrote to Motorola&#39;s shareholders, in the
&quot;Wall Street Journal&quot; on advertising for themselves, trying to
get the company&#39;s board seats, and so cause the Company&#39;s poor
operating performance Zander stepped down. May 7, 2007, in Chicago, Motorola
shareholders at the meeting, he delivered a speech on more than 500 shareholders. But
most board members were willing to give Zander some time to improve the situation.
Motorola is to demand that &quot;unwelcome&quot; and Icahn
&quot;stay at home.&quot; Icahn then return losing left rhetoric:
&quot;If the company can not improve operating performance, I will come
back.&quot; Then he went on to purchase Motorola&#39;s shares to reach
6.4% this year, early in April. Last year in October, Carl Icahn told CNBC interview,
said: &quot;Motorola has tremendous value, I still think we should split up
mobile phone business.&quot; After some naughty, Icahn has successfully
created a pressure field.
In order to save his job and reputation, Zander in the ensuing three quarters have
introduced a variety of mobile phones and corresponding accessories, Motorola cell
phone business, but with three feet of ice retreat than to shake the tree, such as Pi Fu.
January 2008 financial report was released in 2007 1.2 billion mobile phone sector
losses of the shareholders are furious. Zander did not make the humiliation of their
own opportunities for Icahn, he announced earnings before the New Year&#39;s
Day resigned away, leaving when he was COO Leigebulang (Greg Brown) clean up
the mess. January 31 the first time outside of Motorola, said the company may sell or
spin-off ailing mobile phone unit. Split is complete, the newly formed company will
fully develop mobile phone business.
More lively is the day Motorola announced the split, the former Chief Marketing
Officer (CMO) Geoffrey Frost (Geoffrey Frost), Assistant 努玛尔法拉兹 (Numair
Faraz) an open letter written to Brown exposure enumerated in the letter 努玛尔法拉
兹 Motorola CEO Ed Zander and Brown two-term marketing strategy and how to
commit a series of technical issues, stupid mistakes, and incompetence when dealing
with complex situations. He vehemently criticized Brown: &quot;It is clear that
work at Motorola and other senior managers is different, you are killing the company.
Do not understand Motorola&#39;s consumer group to sell mobile phone unit,
you can not be justified. Not only that, publicly declared considering a spinoff or sale
of mobile phone unit to stand on your side of Carl Icahn, the only full description of
your incompetence. &quot;
He ironically Zander, &quot;Compared to manage America&#39;s greatest
technology companies, Zander more concerned about his golf score.&quot; The
assistant chief marketing officer angrily broke the news: &quot;I always think
Motorola&#39;s dirty little secret - the company operating the machine operation
is CMO, but not those from the previous to now appear so incompetent company
executives ... ... Many people are familiar with Jeffrey Frost believes that Ed Zander
will take the pressure of the fate of all the company thrown to him, it made him tired
to death at work. &quot;
However, nearly 10 million U.S. dollars in annual salary after the departure of Zander,
finished in catharsis, after all, Motorola will go where? Brown to the price of two
million U.S. dollars per month invited a McKinsey consultant trying to find out.
Unfortunately, the McKinsey prescription, in addition to layoffs, now appears really
April, Motorola announced plans to cut 2,600 employees. &quot;Business
Week&quot; contact one of Motorola employees in more than voice sadly:
&quot;I have left over time, and come see me.&quot; Over the past 15
months, the company&#39;s total number of people laid off nearly 1 million
people. As of the end of 2007, the company employs 66,000 people. Peak, the
company has 15 million people.
This is a sad moment. Not just ordinary employees, Motorola mobile phone sector a
large number of executives, designers, engineers and marketing personnel are active
or passive, to leave this house gave its proud of their business.
Scariest aspect is that the Galvin family, the most cherished assets - loss of talent, no
doubt will make Motorola&#39;s &quot;spin-off made us more focused and
more competitive,&quot; the statement be an empty promise, but also allow
accumulation of Motorola Labs future technologies such as Hill fell asleep, but also
have lost self-confidence to make this business really badly weakened.