Motorola Mobility Plans to Cut 800 Positions in Preparation for Google Acquisition

Motorola Mobility Plans to Cut 800 Positions in Preparation for Google Acquisition

Remember when Google announced they were buying Motorola? We don't talk about it too much these days, but it was a pretty big deal way back when. We even wondered whether device manufacturers might wander over into the loving embrace of other operating systems should a Google-Motorola duopoly arise. In the end, we think the buyout was more about patents than anything else. But now we see the buyout will also lead to some structural adjustments over at Motorola (ie: layoffs).

Unfortunately, the buyout has not been kind to Motorola employees. In anticipation of the acquisition, Motorola has cut some 800 jobs. It's really all the company can do to keep from sliding further into the red; Motorola is still bleeding cash, though its loss narrowed to $32 Million, or 11 cents a share, from a loss of $34 million a year earlier.

Cutting employees will end up hurting Motorola in the short term: the company reported a loss of $27 million in severence and $4 million for facility closures. 

Related:



Will the Google-Motorola Deal Actually Hurt Android?

Source: Business Week

Latest articles at NextPit

Recommended by NextPit

No comments

Write new comment:
All changes will be saved. No drafts are saved when editing
Write new comment:
All changes will be saved. No drafts are saved when editing