“Motorola Inc.’s new cellphone chief is moving quickly to scale back the struggling division, simplifying the way it makes devices and cutting additional jobs,” Sara Silver reports for The Wall Street Journal.
“Sanjay Jha, who also became Motorola’s co-chief executive in August, has decided to focus on Google Inc.’s Android operating system as the software platform for Motorola’s showcase phones, according to people familiar with the matter,” Silver reports.
“Mr. Jha is expected to detail his plans — which will likely include thousands of layoffs — as early as Thursday when the company reports earnings, these people said,” Silver reports. “The company has announced 10,000 job cuts since early last year. Motorola declined to comment.”
“He is betting on Google’s Android operating system and just two other software platforms to speed development of sorely needed new models. He plans to jettison at least four other platforms, limiting the number of employees required to do customization work for different wireless carriers,” Silver reports. “This means Motorola may scrap dozens of phone designs that are in development, potentially leading to product delays in the coming quarters.”
“Motorola isn’t expected to deliver an Android-based phone until next year, according to people familiar with the matter. Indeed, its decision to opt for Android as its main platform means Motorola will be playing catch-up with manufacturers such as HTC Corp. of Taiwan, whose G1 phone went on sale this month from T-Mobile USA Inc.,” Silver reports.
MacDailyNews Take: Playing catch-up to an also-ran. That’s some strategy.
Silver continues, “Motorola is hoping that the open-source Google platform can attract developers of sophisticated applications to stave off the threat of Apple Inc.’s iPhone…”
Full article here.