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Motorola Incorporated
has recently announced they would be introducing their first phone based on
Google’s Android operating system the following year.
Nevertheless,
the company is not doing so well at the moment, since it has lately been facing
many financial issues that have arisen from both the economic crisis the United States are currently fighting and some internal
organizational problems.
Motorola’s
quarterly report revealed that the sales in their wireless unit had gone down
by 31 percent, reaching revenue of only $3.1 billion, a decrease the company
blamed on various product portfolio faults in their marketing segment for the
3G gadgets, mainly.
In order to cut their losses, Motorola is expected to lay
off 1,500 people from the wireless unit, which is said to bring them $104
million.
Back in August, Sanjay Jha came to the helm of Motorola’s wireless
handset business, the new boss having stated that he hoped to get the Android-based phone on
the markets in time for the holiday season in 2009.
Although the business has used various software from several
sources in the past, Jha informed they would only work with Google’s Android
system from then on for their handset devices.
From January to the end of September, Motorola has laid off
4,800 workers, of which approximately 2,500 were direct employees, while their sales
decreased to $7.5 billion during the fiscal quarter that ended on September 27,
$1.3 billion less than their revenue for the same time-frame in 2007.
Moreover, the company lost $397 million in the
aforementioned quarter this year.
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