Google reduces Motorola Mobility's employee count by 20%
Motorola Mobility, the mobile technology company, has undergone significant changes since its acquisition by Google last year. David Woodside, the CEO of Motorola Mobility, took the helm in November 2011.
According to Woodside, Motorola Mobility is excited about the smartphone business. This excitement is reflected in the company's decision to standardise on Google's Android operating system for its smartphones before the acquisition.
The acquisition was largely seen as a defensive move by Google, aimed at protecting itself in an increasingly combative mobile industry. Google's CEO, Larry Page, expressed expectations that Motorola would produce the next generation of mobile devices that would improve lives for years to come.
In line with this vision, Motorola Mobility plans to withdraw from unprofitable markets and discontinue low-value devices. The company will also cut around 4,000 jobs and close or consolidate about one-third of its 90 facilities. Despite these measures, Motorola is committed to providing generous severance packages and outplacement services to affected employees.
Motorola Mobility will simplify its product suite and shift emphasis from feature phones to more innovative and profitable devices. This strategy is expected to help return the mobile devices unit to profitability.
Interestingly, the Google-branded Nexus 7 tablet, Google's most significant own-brand hardware offering to date, is built by Taiwanese manufacturer Asus.
CEO Woodside stated that the acquisition by Google was critical for understanding consumer usage of mobile devices, crucial for Google's long-term survival. Motorola Mobility will also focus on providing a seamless and consistent user experience across its devices, in line with Google's mission.
As Motorola Mobility navigates these changes, it remains committed to delivering high-quality products and services to its customers. With its new focus and resources, the company is well-positioned to compete in the dynamic and competitive mobile industry.
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