Motorola Splitting Home and Networks Unit
By Geoff Duncan
July 28, 2008
Just a few months after dividing in two, Motorola plans to split it s home and networks business unit into three pieces.
Just a few months after splitting itself in two, Motorola has announced that one of those companies—the home and networking unit—will be further subdivided into three business units to leverage growth potential in the market. The new units will focus on broadband home solutions, broadband access solutions, and cellular networks.
According to The Wall Street Journal, The home and networking unit had originally been set up as a collection of businesses, some of which focussed on particular product types (like modems and cable set-top boxes) rather others focussed on infrastructure equipment to handle data communications. Motorola believes restructuring into three primary areas will enable the company to better capitalize on market opportunities around the world—where, certainly, broadband and digital media rollouts ought to be creating strong demand for exactly the kind of gear Motorola makes.
Motorola's initial split into two companies was a move to separate its infrastructure, broadband, and networking businesses from its struggling cellular handset business.