Motorola Mobility loses $32 million as Xoom sales collapse in Q3
The company's Mobile Devices group contributed $2.4 billion toward overall revenues, shipping 11.6 million mobile devices, 4.8 million of which were Android smartphones. But that group itself lost $41 million in the quarter.
Compared to its year ago quarter, Motorola's Mobile Devices group sold 2.5 million more phones (up from 9.1 million total) but only 1 million additional smartphones (up from 3.8 million). Over the last three quarters of 2011, Mobile Devices has lost $215 million.
Earlier in the year, Motorola had shipped 250,000 Xoom tablets in the first quarter and then 400,000 in the second quarter, making this quarter's trickle of 100,000 evidence that the Android 3.0 Honeycomb flagship has sunk.
Motorola's Home segment, which builds set top boxes and video equipment, brought in just $825 million but its earnings contributed $54 million.
Google announced plans in August to acquire Motorola Mobility, ostensibly to use its patents to "protect" Android from intellectual property infringement cases. However, Motorola's stated objectives indicate that Google was really trying to prevent Motorola from suing other Android licensees itself. Motorola had also threatened to build its own mobile OS or join Microsoft in making Windows Phone 7 devices.
Motorola stated that its acquisition by Google "is expected to close by the end of 2011 or early 2012," and that the company "will hold a special meeting of stockholders on Nov. 17, 2011, to seek stockholder approval of the proposed merger with Google."
51 Comments
I'm sure RIM will be following suit here shortly.
Where's the fire sale? My brother and I are sharing a $100 webOS tablet. Its great just for reading news websites.
Shame.
Only asian companies makes money from android?
What IS wrong with USA companies?
License kills innovation urge.
I can se Samsung selling its own OS in A near future, SONY perhaps ?
Build yr own future, stop riding on someone's else back.
Look at German car makers, they build the ultimate tech for the automobile, if you do not like Apple.
Xoooooomm , what was that? Where did it go?
I know a true believer who rushed out to buy one of these damn Xooms when they first hit the market; instead he uses his first-Gen iPad all the time. And this is someone who is ideologically opposed to Apple's walled garden. But then I remember the lady from Westboro Baptist Church tweeting about protesting Steve Jobs' funeral FROM HER IPHONE. Yes, even the haters secretly love Apple.