Ericsson Said It Will Consider Purchasing Motorola Assets - InformationWeek
IoT
IoT
Mobile
Commentary
2/1/2008
12:11 PM
Eric Ogren
Eric Ogren
Commentary
50%
50%

Ericsson Said It Will Consider Purchasing Motorola Assets

Ericsson CEO Carl-Henric Svanberg said that the company would seriously think about scooping up Motorola's handset division if indeed Motorola puts it up for sale. He noted, though, that Ericsson would be "very cautious" about approaching any deal.

Ericsson CEO Carl-Henric Svanberg said that the company would seriously think about scooping up Motorola's handset division if indeed Motorola puts it up for sale. He noted, though, that Ericsson would be "very cautious" about approaching any deal.Ericsson does not have a long history of making acquisitions like many of its competitors, notably Nokia, which has been on a buying spree for the better part of a year. But the idea of acquiring Motorola's handset business is appealing enough that Ericsson will at the very least entertain the idea.

Being quoted by Reuters, Svanberg said, "As professional business leaders we look at everything, but we would take a very cautious view on such a thing because we do believe you are better off doing it on your own. We are probably the company of all our competitors that has acquired the least because we do base our strategy on our own internal work -- R&D and organic growth."

Motorola's handset business definitely needs a kick in the pants. Perhaps an entirely fresh line of thinking (from new owners) is what the company needs most to get back on its feet. I think Motorola still has a lot of potential. There's no doubt that it can create good products. The new Rokr E8 phone, for example, uses haptic feedback technology that is leaps and bounds ahead of the competition. Even though the surface is perfectly flat and doesn't move at all, Motorola was able to design the micro-vibrations in such a way that it actually mimics the feel of pressing a real button. Cool stuff.

New management and oversight of its mobile projects is what is needed most. If Motorola can't or won't bring in new managers of its own, then maybe Ericsson's -- or someone else's -- managers will know the right steps to take.

Comment  | 
Print  | 
More Insights
Comments
Newest First  |  Oldest First  |  Threaded View
How Enterprises Are Attacking the IT Security Enterprise
How Enterprises Are Attacking the IT Security Enterprise
To learn more about what organizations are doing to tackle attacks and threats we surveyed a group of 300 IT and infosec professionals to find out what their biggest IT security challenges are and what they're doing to defend against today's threats. Download the report to see what they're saying.
Register for InformationWeek Newsletters
White Papers
Current Issue
Digital Transformation Myths & Truths
Transformation is on every IT organization's to-do list, but effectively transforming IT means a major shift in technology as well as business models and culture. In this IT Trend Report, we examine some of the misconceptions of digital transformation and look at steps you can take to succeed technically and culturally.
Video
Slideshows
Twitter Feed
Sponsored Live Streaming Video
Everything You've Been Told About Mobility Is Wrong
Attend this video symposium with Sean Wisdom, Global Director of Mobility Solutions, and learn about how you can harness powerful new products to mobilize your business potential.
Flash Poll