Motorola Mobility plans to scale down Indian operations

Telecom Lead India: Motorola Mobility is planning to
scale down Indian operations.


The decision is part of slashing 20 percent of its total
workforce and closing a third of its 94 offices worldwide.


Motorola Mobility’s Asia business (excluding China) from
mobile segment contributed 5 percent to its total revenue in Q1 2012. In fact,
the revenue contribution decreased from 6 percent in Q4 2011. China’s
contribution was 13 percent to total mobile revenue in Q1 2012.


Contribution of home business of Motorola Mobility in Asia
was 1 percent in both Q1 2012 and Q4 2011.


The EMEA region chips in 7 percent of mobile revenue.


North America is the largest revenue generator for Motorola
Mobility with 54 percent in Q1 that grew from 48 percent in Q4 2011.


Latin American is the second largest revenue earning region
with 21 percent revenue.


Motorola Mobility is also planning to cut down the number of


The company’s total shipments reduced to 8.9 million in Q1
2012 from 10.5 million in Q4 2011.


In the first quarter of 2012, the Google-owned Motorola Mobility shipped 5.1 million smartphone units and approximately 100K tablets.
It shipped 3.7 million feature phones.


In the quarter, the company launched 4 new smartphones.
Motorola Mobility has expanded budget-friendly smartphone portfolio in China,
Europe, and Latin America with MOTOLUXETM, slim touchscreen device, and


Focusing on 4G markets, it launched RAZRTM MAXX, the
longest-lasting 4G LTE smartphone, and DROID 4 by Motorola, 4G LTE QWERTY


Recently, Alcatel-Lucent said it will exit from non-profitable


The cuts are the first step in Google’s plan to reinvent
Motorola, which has fallen far behind its biggest competitors, Apple and
Samsung, and to shore up its Android mobile business and expand beyond search
and software into the manufacture of hardware, New York Times reported.
One-third of the 4,000 jobs lost will be in the United States. The company
plans to leave unprofitable markets, stop making low-end devices and focus on a
few cellphones instead of dozens, said Dennis Woodside, Motorola’s chief
Revamp is significant as ninety percent of the profits in the smartphone space
are going to Apple and Samsung.


Motorola will shrink operations in Asia and India, and
center research and development in Chicago, Sunnyvale and Beijing. But can it
revive dwindling phone business.