“After struggling for years to regain the success it had with the RAZR, Motorola may soon quit the cellphone industry altogether, according to research by a Nomura investment analyst,” Aidan Malley reports for AppleInsider.

“Richard Windsor of the London-based firm explains that an investigation suggests Motorola would drop the segment entirely and instead focus on its enterprise and government sectors,” Malley reports.

“Talks of a Chinese takeover, however, are an “old chestnut” that isn’t likely to come true unless a buying firm knows how to mend Motorola’s business, the analyst says,” Malley reports.

“Motorola is already said to be suffering, and in the fourth calendar quarter of 2007 reported a 38 percent drop in its mobile device sales compared to the same period a year ago — a stark contrast to an industry widely agreed to be growing over time. The departure of Ed Zander from Motorola’s chief executive spot in mid-quarter is understood to have been partly driven by the increasingly poor results,” Malley reports.

Full article here.

MacDailyNews Take: May 10, 2007, Motorola Chairman and then-CEO Ed Zander says his company is ready for competition from Apple’s iPhone, due out the following month. “How do you deal with that?” Zander was asked at the Software 2007 conference Wednesday in Santa Clara, Calif. Zander quickly retorted, “How do they deal with us?”IDG News Service