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Moto consolidates phones, dumps UIQ Symbian

Motorola is cutting down on its chip vendors and software platforms to gain greater efficiency as it continues to see market share suffer.

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“We certainly plan a large number of devices addressing a number of price points in the wireless market using Android, as well as using Windows Mobile,” Jha said. “I think you’ll see both Windows Mobile and Android address a much larger market share than they have in the past and they will in 2009. In 2010, I think they will both address a much larger tier.”

Jha said Moto is planning a variety of additional Windows mobile devices, as well as the first Android phone by the holiday season of 2009. Moto also cut ties with Freescale for its UMTS chipsets. Going forward, Qualcomm and Texas Intstruments will be Moto’s preferred UMTS chipset suppliers. Freescale and TI will continue as GSM and EDGE chipset suppliers, and Qualcomm will remain the CDMA chipset supplier.

Moto’s attempt to focus on the high-end of Smartphones is traditionally not the handset manufacturer’s strong point. RBC Capital Markets tech analyst Mark Sue said that it won’t be a pretty picture for Moto as it retrenches its mobile devices to accelerate the delivery of competitive products.

“Units may decline sequentially since Motorola is lacking in smartphones and entry-level devices,” Sue wrote in a research note. “Things may stabilize if Motorola executes on its plan to streamline its operating systems and further take costs out.”

.Jha did not release a new target for the eventually spin-off of its handset division, but said it is no longer anticipating a spin off in the third quarter of 2009 due to stresses in the financial markets, anticipated slowdown in handset demand and the changes underway in the mobile devices unit. Jha did not mention layoffs as part of the changes, though the Wall Street Journal reported that that thousands of jobs will be cut as part of an initiative to cut up to $800 million in annual costs.

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© 2012 Penton Media Inc.

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