Motorola Solutions strikes out on its own

Company says the value of its mobile and wireless technology businesses has been ‘unlocked’ now they are trading separately

Motorola Solutions strikes out on its own

Motorola Solutions has completed its separation from Motorola Mobility and began trading on the New York Stock Exchange from 4 January. The split between the two parts of Motorola Inc. has been two years in planning. Motorola Mobility includes the mobile phone and set-top box parts of the company, while Motorola Solutions provides business and mission critical communication products and services to enterprise and Government customers.

Tom Quirke (pictured), a VP and global TETRA lead within Motorola Solutions, explained to Wireless the reason behind the split. ‘What it allows us to do is unlock the value of both sides of the company, which have two very different kinds of customer base. It will allow each organization to be more agile within its own market.

‘Motorola Solutions has b2b relationships with big organisations. We have very few consumer customers. Motorola Mobility’s consumer customers have a very different dynamic. The tempo of getting products to market is much quicker, with a faster turnover of products that need to keep
up with fashion.

‘In b2b, it’s the opposite dynamic,’ he said. ‘You’ve got to have the product in the market for a long time. It needs to be embedded for a while to allow customers to make informed decisions and for them to set up the training needed.’

Quirke said that customers will see a renewed sense of vigour following the separation. ‘It’s a fresh start for us and you will see very dynamic engagement with the market with more listening and understanding of customers and more thought leadership from us. We are undertaking a lot of R&D investment. Being the number one manufacturer generates an expectation to lead the market. We will step up and do that and this will result in a different class of products and solutions.’

Quirke said it is important for Motorola to get close to its customers and understand their requirements. Motorola’s goal is to ensure it can provide the devices, infrastructure, applications and services – a complete solution – hence
the choice of name.

‘Many think that it is a factual, analytical decision in deciding which customer or vendor to go with, but it’s actually quite emotional,’ said Quirke. ‘You’ve got to live with each other for many years. You have to decide whether they are committed as a customer and will they be around in years to come. But we know the peaks and troughs in the market and can accommodate them.’

Written by Wireless magazine
Wireless magazine

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