Showing posts with label Motorola. Show all posts
Showing posts with label Motorola. Show all posts

Sunday, September 27, 2009

Did Microsoft loose $560 million on Windows Live?

Online services have been a financial drain for Microsoft, and the company said it has moved financial reporting for Windows Live from the Online Services Business to the Client division.

In a conference call with Wall Street analysts, Microsoft executives said Windows Live pulled in $520 million in revenue in fiscal year 2009, but posted a loss of $560 million. This is by no means a recent trend. Overall, the Online Service Business posted an operating loss of $2.2 billion during fiscal 2009, after racking up a $1.2 billion loss in fiscal 2008.

Tami Reller, Chief Financial Officer and Corporate Vice President, Windows Business Group, said Windows Live operates at a loss primarily due to data center construction costs, research and development, and sales and distribution costs.

"The investments in the data centers is one of the most significant investments in the Windows Live business, and really is a result of the large customer base and the strong competitive position that we have today across these services," said Reller.

Windows Live, which includes Hotmail, Live Messenger, and Skydrive, has more than 500 million users, and makes the bulk of its money through online advertising, according to Microsoft. As the user base grows, Microsoft will continue to invest in building out the data center infrastructure to support them, while also maintaining its investment in R&D, sales, and distribution, according to Reller.

"It is an organizational move, not new or changed investment," said Reller.

Microsoft will report its fiscal 2010 first quarter results on October 22, and Wall Street will be looking for some signs of improvement from several consecutive dismal quarters. Slowing PC and server sales have decimated Microsoft's business, and company officials have called the situation the most difficult economic environment the company has faced in its history.

Agencies

Motorola's Android system banks on Google's Web power

Struggling phone maker Motorola unveiled its first device using Google's Android system Thursday, expecting it will power features that promise easier access to hot Internet sites like Facebook and Twitter.

The phone, called Cliq, will go on sale at T-Mobile before the end of the year. Pricing info has not yet been released.

Motorola has reorganized its handset biz around Google's Android system, hoping the partnership with the Web search leader can help it win back customers.

The centerpiece of Motorola's Android development is its MOTOBLUR software, which integrates contacts, e-mails and text messages along with postings and photos from social networks by feeding content from these sources into "easy-to-manage streams."

For example, Motorola's live "Happenings" application delivers updates posted by friends automatically on multiple social sites to one place, and gives the user a choice of ways to reply to those updates instantly.

Agencies

Monday, September 14, 2009

Major management shake-up at Intel Inc

Intel is expected to reveal a sweeping management change today, said the New York Times attributing to people briefed on the company. This management shake-up will witness its core chip Business Head Patrick Gelsinger leave the company after 30 years.

As Gelsinger departs, Sean Maloney, Intel's Head of Sales and Marketing, would take on an even larger role at the company. Maloney will look after the major chip businesses in Intel including its PC, graphics and server chips.

Also, Maloney, Intel's Sales Chief, is considered to be one of the possible successor to Intel CEO Paul Otellini. Another report from the Wall Street Journal, said 48-year-old Gelsinger would run computer-storage giant EMC's storage-products operations and some smaller software units.

Agencies

Sunday, September 13, 2009

Motorola unveils Cliq smartphones

Motorola introduced its first smartphone based on Google's Android software, in a move that's key to the company's goal of regaining its place among the world's top cellphone manufacturers.

The device, dubbed the Cliq, will first be made available later this year in the US through T-Mobile. The touch-screen phone will run a new service from Motorola called MotoBlur, which synchronises all user messages and contacts, Motorola chief executive Sanjay Jha said at the Mobilize conference in San Francisco.

"MotoBlur makes text, e-mail, Facebook, Twitter feeds and photos from sources like MySpace, Gmail, Yahoo and corporate e-mail appear in a single stream and sync them together with no different logins," Jha said. "This means you can focus on what people have said instead of how and where they said it."

The Cliq will feature a full, slide-out keyboard, a 5-megapixel camera and access to all the Google programmes and applications available for the company's Android platform.

The phone will be called the Dext in markets outside the U.S. and will launch in France, Britain and Latin America later in the year, Jha said. No pricing was available for the device.

Analysts said the integration of social networking into phones could give Motorola and other manufacturers a foot in the door in their battle to challenge the iPhone as the world's dominant smartphone.

Motorola has been especially hard hit by the move to smartphones, selling just 18.8 million handsets in the most recent quarter, down from 28.1 million a year ago. Earlier this decade, the company's Razr was the world's most popular cellphone.

Jha said that Motorola was now refocused on producing cutting-edge mobile devices. He said the Cliq was crucial to the company's recovery.

"It's a very important starting point for us," Jha said. "I see smartphones as the future of computing. If it doesn't fit in your pocket, I don't think it's going to be a relevant device."

Agencies

Monday, September 7, 2009

Make-or-break bet for Motorola as it takes on Android

Motorola Inc needs to spark some serious gadget lust next week when it unveils new phones to convince consumers and Wall Street that it's still a player in the global mobile industry, but the odds may be heavily stacked against it.

After losing market share for years, Motorola has made what is viewed as a make-or-break bet on Google Inc's Android mobile software, hoping the partnership with the giant Web company can help it win back customers.

Shares of the one-time market leader, now ranked fourth in global handset sales, jumped 11 percent earlier this week on investor hopes that the new phones could generate enough excitement to make Motorola's bat-wing logo famous again.

But while no one is expecting an iPhone-killer at the San Francisco unveiling on September 10, analysts say the risk is still that the new phones will not be unique enough to wow consumers, especially when other vendors also sell Android phones. "Early devices will not be significantly differentiated and could disappoint those playing the 9/10 launch," said Macquarie Research analyst Phil Cusick, who expects Motorola to display two new Android phones that day.

Motorola has given few details about the announcement, which will come during Co-Chief Executive Sanjay Jha's keynote at GigaOm's mobile conference. Jha first revealed his plans for creating Android phones in October.

He has said the new phones will be integrated with popular online social networks; but rivals such as Apple Inc, Research in Motion Ltd, HTC Corp and Palm Inc already have features for services like Facebook.

Shareholders have been impressed enough with Jha that they have more than doubled Motorola's share price since May. Still, the stock is down 70 percent from its 2006 peak of $26 and has been trading below $8 per share. "It's going to be extremely significant to the company's future," said Current Analysis analyst Avi Greengart. "If the phone does well, they live to fight another day."

Comparisons will inevitably be drawn to Palm's Pre phone unveiling, which was also seen as a last chance for that company. Pre reception was good and caused Palm's share price to quadruple, in part on the perception that the company has become a more attractive takeover target.

Should the initial reaction to Motorola's devices be as strong, the company could have a good chance of luring back consumers, investors and mobile service providers, analysts say.

PRETTY HARDWARE

Motorola turned to Google for phone software because its own strength has been in hardware. This was demonstrated by the Razr, whose slim form inspired imitations for two years before it started to fall out of favor in late 2006.

Analysts expect Motorola's new phones to have stylish enough hardware to secure distribution by mobile carriers, but the question is whether the software will be different enough to spur holiday season sales -- especially when the bar has been set very high by Apple's iPhone and the thousands of apps available for download from Apple's online store.

"Short-term, Motorola needs to win the purchase decision of specific carriers," Greengart said. "Long-term, they're going to need to do something more than selling pretty hardware running an operating system other competitors have access to."

Motorola's Jha has said several times that carriers were impressed with the Android phones. He told Reuters in a recent interview that he was encouraged when one operator executive told him "bat-wings are back."

Analysts expect Motorola Android phones to be sold by Verizon Wireless, owned by Verizon Communications Inc and Vodafone Group Plc, and by T-Mobile USA, owned by Deutsche Telekom AG. But Verizon said it is not involved in Motorola's announcement next week. T-Mobile said it will launch new Android phones this year but declined to give details.

Even if carriers did back the phone, some of Motorola's former shareholders say they would be wary of betting on the company unless it started to show sustainable improvements.

"I wouldn't touch the stock until they've launched three, four or five phones and they've gained market share for at least a year," said Jane Snorek, an analyst for First American Funds, which manages $35 billion in equities that used to include Motorola shares.

Deutsche Bank analyst Brian Modoff said he is impressed by Jha but agreed that investors should look beyond September 10. "If you get to several phones and they're all disappointing, then you have to start writing the obituary. I don't see that," said Modoff. He said he will focus on the reaction from young consumers who crave cool gadgets: "We'll see what the 20-year-olds think. That's what really matters."

Agencies

Saturday, July 18, 2009

Has Intel completed Wind River acquisition?

Intel has completed its purchase of Wind River, which builds software for smartphones and other devices.

The acquisition is costing Intel $11.50 a share in cash for a total price tag of around $884 million, Intel said Friday. Wind River is now a wholly owned subsidiary of Intel, reporting to the chipmaker's Software and Services Group.

By scooping up Wind River, Intel hopes to carve out a greater chunk of the mobile device market. Wind River designs operating systems and other software for cell phones, portable Internet devices, consumer electronics, and in-car "infotainment" systems. With such diverse customers as Sony, Verizon, Motorola, Boeing, and NASA, Wind River has its hooks in the automotive, aerospace, and telecommunications industries.

"The acquisition will deliver to Intel robust software capabilities in embedded systems and mobile devices, both important growth areas for the company," said Renee James, an Intel vice president and general manager of the company's Software and Services Group.

The purchase of Wind River also moves Intel further into software as an added source of revenue.

Though now owned by Intel, Wind River said it will continue to develop applications for its current customers. The company expects to pick up sales and new customers with access to Intel's technology, brand, and global sales force.

Intel first announced its decision to buy Wind River on June 4.

CNET.com

Wednesday, June 24, 2009

Intel & Nokia to jointly work on mobile devices

Intel Corp announced a technology partnership with Nokia that could potentially give the chip maker the breakthrough it as been looking for into the mobile market.

The companies said on Tuesday they would work together on a new class of mobile computing devices, but would not say when they would come to market or give details on the kind of wireless products they hoped to develop together.

Analysts saw the pact as strategically important for Intel in the long term because it gains the world's top cellphone maker as a potential client. But given the lack of details, analysts said it could take one or two years for products to come to market, and it remained to be seen if they would find favor with consumers,

"Intel at least has its foot in the door. It's an important and strategic customer," said Gartner analyst Jon Erensen, who sees the partnership as a way for Intel to get into the market for advanced phones known as smartphones.

However, he added, "You're probably talking about something like 2011 before you get down to the power consumption and integration (levels) you'd need for that kind of device."

Analysts said the deal gives Intel a chance to take on leading cellphone chip makers Qualcomm Inc and Texas Instruments Inc, a big Nokia supplier.

It could also mean stiffer competition for ARM Holdings Plc, which supplies core cellphone processors to both Texas Instruments and Qualcomm, and whose customers rely in part on software from Wind River Systems Inc.

Intel said earlier this month that it would buy Wind River, whose software speeds up and connects devices made by Samsung Electronics, Apple Inc, Hewlett-Packard Co and Motorola Inc.

Intel, whose microprocessors are found in eight out of 10 personal computers, already works with LG Electronics on mobile devices. The agreement with Finland's Nokia, the world's largest cellphone maker, is a bigger step.

Intel Chief Executive Paul Otellini has said that the handheld, embedded and netbook markets would be as important for the company as the PC market in the near future.

NEW MOBILE PLATFORM

Under the agreement, Intel will buy intellectual property from Nokia related to high-speed wireless technology. They also plan to collaborate on open-source mobile Linux software projects, which some analysts say will compete with Google's Android software in the netbook and mobile Internet device (MID) market.

Intel and Nokia said they aimed to define "a new mobile platform beyond today's smartphones, notebooks and netbooks" for hardware, software and mobile Internet services. They stressed the pact was about their technology collaboration and not about specific products.

Until the companies give more detail about their plans, the news is unlikely to provide much of a boost to share prices, analysts said.

Intel's shares rose 0.83 per cent to $15.81 while Nokia shares fell 0.78 per cent to 10.21 euros.

Intel already sells Atom chips for netbooks - small, no-frills computers
good for Web surfing - and Nokia has said it would look into the possibly of expanding beyond phones to develop netbooks.

The pact may help Nokia compete with rivals such as iPhone from Apple Inc and BlackBerry from Research In Motion, as well as Pre from Palm Inc.

J. Gold Associates analyst Jack Gold wrote in a research note that he expects the first Nokia-Intel devices to be Atom-based and to hit the market in early to mid 2010. Within two to three years, Intel could ship tens of millions of units annually, he said.

Gold wrote on Tuesday that he expects to see Intel enter into more deals and alliances in new markets.


Agencies

Saturday, March 7, 2009

Motorola ex-CFO sues for firing him

Motorola Inc's former chief financial officer (CFO) has sued the company for firing him, claiming that it was a "retaliatory discharge."

Paul Liska sued the maker of telecommunications equipment in county court in Chicago on February 20, a day after he was fired. The suit is under seal, and no further details were available. Liska did not return calls for comment, and the company did not return an email.

A "retaliatory discharge" usually refers to an employee being fired for doing something that's in the public interest, like being a whistleblower.

Schaumburg, Ill.-based Motorola said in early February that Liska was leaving after less than a year of service. It didn't specify a cause, but Chief Executive Greg Brown implied on a conference call that it was connected to the delayed spin-off of the company's cellphone unit. Liska, a former partner at private equity companies, was seen as a restructuring expert.

However, Motorola revealed in a filing this week that it had terminated Liska "for cause," depriving him of his signing bonus, stock options and severance payment. It didn't specify the cause.

The Wall Street Journal quoted Liska as saying he had been told he been terminated on January 29 without cause. There was no explanation for the discrepancy in dates on when Liska was terminated.

Agencies

Tuesday, February 24, 2009

Motorola to bring live 'News on the Mobile' to India

Motorola, Inc's Indian subsidiary, Motorola India Private Limited, and digital publisher, Pressmart Media Limited, on Tuesday announced the live news-on-the-mobile service on MOTO VE66, MOTOSURF A3000 and MOTOROKR EM35 phones slated for distribution in India.

News on the mobile provides consumers access to branded news content powered by Pressmart. By selecting the WAP link "Daily News" on their Motorola phones, consumers can receive free news content and access to their favourite newspapers while on the go.

Newspapers offered on the service include Indian Express, The Financial Express, The Asian Age and Deccan Chronicle.

News-on-the-mobile is designed specifically for the mobile phone screen for optimum viewing experience.

A GPRS connection is required to access the free news content, a Motorola press release said here.


Agencies

Thursday, February 19, 2009

Yahoo offers iPhone-like Web for masses

Yahoo announced a new mobile service on Tuesday that will deliver an iPhone-like experience for people who cannot or will not splash out for the iconic but pricey Apple device as times get hard.

Yahoo Mobile will launch at the end of March in a form downloadable to any phone with a Web browser and from May in custom versions for hundreds of smartphones.

"There is a growing number of consumers out there who are not Apple iPhone users but want a rich starting experience," Marco Boerries, the head of Yahoo's mobile division, told the media in an interview.

Yahoo will also launch a version of Yahoo Mobile, designed to be a starting point for users to access the Internet, for the iPhone itself at the end of March. A test version for a limited number of public users is going live this week.

Yahoo Mobile offers a front page with colorful, boxy icons resembling the iPhone's for launching popular applications such as a Web browser, mail, news, weather and social network sites like Facebook.

Users also have the option to easily add any software or Web sites they choose to download on their phones.

The company plans in coming months to promote Yahoo Mobile via a series of 70 major operator partnerships it has struck to reach 850 million mobile subscribers around the globe.

Fifty of those partnerships already offer Yahoo services and the company expects the rest to adopt Yahoo Mobile in coming months, Boerries said.

Yahoo has developed versions that work on hundreds of mid-range and high-end mobile phones from BlackBerry maker RIM, Nokia, Samsung, Sony Ericsson and Motorola, as well as phones running Microsoft Windows.

Boerries defines the universe of phones that can effectively run Yahoo Mobile as "every phone that's shipped in the last two years that has a decent HTML-capable browser." He added: "We don't want to make lowest common denominator stuff."

A more general version of the service downloadable from the Web will also work on older phones but will not be tailored to those phones' specifications. Boerries demonstrated it on an old Sony Ericsson model.

Boerries said last year's on-again off-again talks with would-be buyer Microsoft had not significantly distracted his team, and said he had kept his key staff together for years.

After some prior delays in introducing services such as Yahoo Go, Boerries professed relief that his fuller vision of putting the Web on phones had arrived on time: "It is really, for me, making it all come together."

"This is like the uber-replacement of Yahoo Go."

Agencies

Saturday, January 10, 2009

Motorola India issues pinkslips to employees

Seems the predictions of a tough 2009 for the cellphone market have started coming true. According to a report in a leading daily, more than 200 people Motorola India had hired just a few months ago to drive its mobile handsets business have been laid off.

The company has decided to stick to its current model of doing business through distributors, says the report.

Industry sources said that Motorola paid all the laid-off sales personnel two months salary in lieu of the notice period.

The company is also reported to have issued pink slips to at least 100 of its 4,000 employees in India in December. It is, however, not clear if the current number of employees given pinkslips includes these.

The December move was said to be a part of the Illinois-based company's earlier announced strategy of slashing 3,000 jobs, or about 5 per cent of its global workforce.

This week the company also launched MotoYuva EM325. The eighth MotoYuva mobile phone in India offers a one-touch access to MP3 library, a universal 3.5 mm jack, 2 GB of removable microSD memory and drag-and-drop USB 2.0 technology. The phone is available in India at a price of approximately Rs 5,149.

In an interview to a news agency, Sony Ericsson CEO, Hideki Komiyama said that the company expects a challenging year 2009 as the handset sales are expected to be down by 5-6 percent.

Sony Ericsson's predictions follow similar ones from Nokia and Gartner according to which the global handset market is set for a slowdown in 2009.

Indiatimes

Wednesday, December 31, 2008

Motorola to layoff another 400 employees

Mobile phone maker Motorola Inc said it will lay off 400 more employees in the fourth-quarter than it originally planned, resulting in additional charges.

In October, Motorola announced a cost-reduction plan that included cutting a total of 3,000 jobs, with 1,500 coming in the fourth quarter. The change means 1,900 will be in the fourth quarter although the overall total will not change.

The plan is intended to save the company $800 million in 2009. The fourth-quarter job cuts, primarily from the mobile devices segment, were expected to result in charges totaling $104 million.

In a filing with the US Securities and Exchange Commission, the company said it has since approved plans to cut another 400 jobs in the quarter. Motorola now expects $189 million in charges in the period related to its cost-cutting initiative.

In the filing, Motorola said "all of the company's business segments, as well as various corporate functions, are impacted by these plans."

Earlier this month, Motorola said it would suspend contributions to its 401(k) worker retirement plan, freeze its pension plan, stop some pay increases and cut the salaries of its two top executives.

Shares of Schaumburg, Illinois-based Motorola closed up 11 cents at $4.16.

Source: Agencies

Thursday, December 18, 2008

Motorola bosses take 25% pay cut

Motorola Inc, the second-biggest US seller of mobile phones, will freeze US pension plans and reduce executive salaries to help cope with the economic slump.

Co-Chief Executive Officers Greg Brown and Sanjay Jha are taking a 25 per cent cut in base salary in 2009, Motorola said in a statement. Employees in many markets won’t get a raise, and the company will temporarily stop making matching contributions to US workers’ retirement investment accounts.

Jha, hired in August to lead the wireless device division, seeks to turn around a unit that has posted operating losses of $2.8 billion since the start of 2007. He tapped Google Inc to supply software for phones after losing market share to Samsung Electronics Inc and Apple Inc, whose iPhone 3G topped Motorola’s Razr in the third quarter as the most popular US phone.

“Turnarounds are always hard to execute on, and a bad economy makes them tougher,” said Tavis McCourt, an analyst at Morgan Keegan & Co in Nashville. “I’d be shocked if this is all they do in 2009.”

The pay cuts and pension freeze will help Motorola add to the $800 million in annual costs savings it announced in October, including 3,000 job cuts, the company said.

Worldwide mobile-phone sales will drop 13 per cent next year, the first decline since 2001, as economic growth slows, analysts at Citigroup Inc said in a research note.

Motorola, based in Schaumburg, Illinois, rose 5 cents, or 1.1 per cent, to $4.46 at 12:07 pm in New York Stock Exchange composite trading. The shares had dropped 73 per cent this year before today.

Source: Agencies

Thursday, December 11, 2008

PM flags off first 3G service in India

Mahanagar Telephone Nigam Limited (MTNL) has announced the launch of India's first 3G services. The formal inauguration has been by the prime minister of India, Manmohan Singh and Communications & IT minister A. Raja, at India Telecom 2008.

With the launch of these 3G services, MTNL's customers in the metros of New Delhi and Mumbai will be the first to experience new services like high speed data transfers, video streaming and conferencing, mobile TV, video mobile surveillance, and mobile internet broadband.

MTNL has selected Motorola's next-generation 3G network infrastructure that includes radio access network, core network elements and various services like project management, networks deployments, and system integration.

"We are working closely with technology partners like Motorola to provide a suite of advanced mobile applications that are not being offered by any other existing carriers. We believe these services will create a paradigm shift in the mobile experience of the Indian consumer" said, RSP Sinha, chairman and managing director of MTNL.

Source: Agencies

PM flags off first 3G service in India

Mahanagar Telephone Nigam Limited (MTNL) has announced the launch of India's first 3G services. The formal inauguration has been by the prime minister of India, Manmohan Singh and Communications & IT minister A. Raja, at India Telecom 2008.

With the launch of these 3G services, MTNL's customers in the metros of New Delhi and Mumbai will be the first to experience new services like high speed data transfers, video streaming and conferencing, mobile TV, video mobile surveillance, and mobile internet broadband.

MTNL has selected Motorola's next-generation 3G network infrastructure that includes radio access network, core network elements and various services like project management, networks deployments, and system integration.

"We are working closely with technology partners like Motorola to provide a suite of advanced mobile applications that are not being offered by any other existing carriers. We believe these services will create a paradigm shift in the mobile experience of the Indian consumer" said, RSP Sinha, chairman and managing director of MTNL.

Source: Agencies

Sunday, December 7, 2008

Web 2.0 a hit with handset makers

Cell phone makers are increasingly pre-loading their handsets with social networking applications to woo Internet-savvy consumers.

LG Mobile has tied up with Mobile 2.0 service provider RockeTalk which will upload a social networking application on its phones. Similarly, Samsung Mobile has a tie-up with ShoZu, provider of mobile social media services, which has pre-loaded social networking software on select Samsung phones.

Says Samsung Mobile country head Sanjay Dutt: “Early next year, we plan to launch our own proprietary software for enabling social networking through mobiles. This will be preloaded on most Samsung multimedia phones. The idea is to enable users to stay connected while on the move.”

LG GSM business head Anil Arora: “Social networking is the next thing on mobile phones. In future, we plan to preload more mobile phone models with social networking application without any extra charge.”

The company currently pre-loads the application only on LG KT 610 and KF 750 cell phones.

According to handset marketers, social networking on mobiles is a hightraction feature in the urban market where youths form a big consumer group for handsets. Says Motorola India and South-West Asia senior director (sales) Lloyd Mathias: “Social networking is an important feature, especially in the urban market and can define the purchase decision. Today’s Internet savvy youths seek access to social networking sites on mobile phones.”

Motorola has social networking application pre-loaded on seven of its handset models, including all phones in the Moto Rokr and Moto Ming series.

Some handset makers are eagerly seeking a tie-up in the space. Says Meridian Mobile CEO Rajiv Khanna: “We see potential in this feature and are planning to make even our low-end phones internet-ready. Early next year, we will tie up with a local web 2.0 service provider and upload this feature in our phones at the shop-floor level.”

Service providers are spoilt for choice as manufacturers queue up seeking collaborations for pre-loading phones with social networking applications.

Says RockeTalk marketing director Sameer Agarwal: “Our application makes it easier for mobile users to send voice messages, pictures and videos. Social networking on mobiles is set to grow exponentially as mobile internet penetration increases.”

The US-based service provider claims to be in advanced stages of talks with handset makers--Nokia, Sony Ericsson, Samsung and Spice Mobile--for pre-loading web 2.0 applications.

Almost 10 million new handsets are sold in India every month, making it one of the biggest markets globally. No wonder, handset marketers like LG and Samsung are quick to adopt novel features to fuel sales.

Source: Agencies

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