Moto consolidates phones, dumps UIQ Symbian

While Motorola didn’t feel the benefits, the handset market overall is maintaining its forward momentum even in a shaky economy. According to ABI Research, the third quarter delivered 8.2% year-on-year growth. This has come as vendors have refreshed their handset portfolios and strengthened their mid-tier and low-tier handset line ups to appeal to consumers on tighter budgets, ABI said, an area where Moto has lost its momentum. Motorola’s other businesses – home and networks mobility and enterprise mobility – remained steady. Enterprise mobility saw revenue grow 4% to $2 billion, while revenue dipped 1% to $2.4 billion in home and networks mobility.

“Motorola's non-handset segments are stable with healthy margins and decent relative visibility,” Sue wrote. “This makes us wonder why the spin is even happening at all. Motorola seems to have a plan to improve its handset division and derivative products near term followed by differentiated UMTS and CDMA offerings mid-to-late next year may help. Narrowing the OS support, leveraging component suppliers, enhancing the experience and not just the form factor while trimming the cost structure, all during an environment of reduced visibility and increased competition means the company will have its hands full next year.”