After plenty of talk and speculation, Motorola has finally broken off into two companies. The company announced plans to spin off its business back in 2008, during a time when its future looked relatively bleak. The change took effect this morning at the New York Stock Exchange, the mobile giant now trading as two distinct companies–Motorola Mobility Holdings (MMI) and Motorola Solution (MSI).
Mobility Holdings is the consumer-aimed wing of the company, featuring devices like cell phones–a wing of the company that has enjoyed a recent uptick lately, thanks in no small part to the success of Android-based smartphones like the Droid. Motorola Solutions is focused on the business-facing side of the company, offering products like police radios.
“We are pleased that Motorola Mobility has reached this important milestone. After more than two years of planning, today we begin operating as a financially strong, independent company trading on the New York Stock Exchange,” MMI’s CEO Sanjay Jha said in an official statement. “We are well-positioned to build on the strong momentum we have in smartphones and end-to-end video solutions-and to take advantage of opportunities resulting from the convergence of media, mobility, computing and the Internet.”
News of the split was received positively on the market, with MMI jumping $3.40 to $32.50 and MSI rising 10 cents to $37.25.
Post a Comment