x

Moto's Bright Spot

5:08 PM -- Motorola Inc. (NYSE: MOT)'s performance in the emerging wireless broadband market and the cellular sector in general is one bright spot for the company, which is struggling to get its mobile phone business back on track.

On the broadband front the company has signed 47 WiMax contracts worldwide and started 15 trails. One of its most high-profile customers is Sprint Corp. (NYSE: S).

The Chicagoland mainstay is also getting into long-term evolution (LTE) proto-4G technology. Verizon Wireless will use Motorola as one of its LTE suppliers, the vendor says.

Motorola CEO Greg Brown says that the overall cellular sector remains profitable but "challenging."

"The strength in revenues was largely due to the seasonality of GSM infrastructure sales but the ongoing competitiveness of the infrastructure market led to weaker margins," notes analyst "Motorola is not investing heavily in 3G and so the GSM infrastructure business can be managed for value meaning that margins are expected to remain in positive territory despite sub-scale revenues."

— Dan Jones, Site Editor, Unstrung

Be the first to post a comment regarding this story.
HOME
Sign In
SEARCH
CLOSE
MORE
CLOSE