Motorola Plans To Release Android-based Phone Next Year

By Jenny Huntington
11:39, November 1st 2008
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Motorola Plans To Release Android-based Phone Next Year

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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