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RSSMotorola handsets’ sales fall by 40%
One of the leading mobile phone manufacturers, Motorola, sees that the sales of its handsets have fallen by nearly 40% in the first quarter of 2008. The company has announced a whopping £100 millions loss which is £10 million more as compared to the losses occurred at the same time last year. According to the latest reports, the sales have crashed down by £2 billion in the last 12 months.
The company states that the mobile phone branch of it’s business floated in March because of the pressure from Carl Icahn who owns over 6% of stock. According to Icahn, “the company can regain profits by running it’s network business separately from it’s mobile device sector.”
Moto Razr phone has gained popularity world wide and the failure to follow up the handset’s success is cited as one of the reasons for the steep fall in the sales. Moreover, three business units of the company fell short of the expected forecasts. On the other hand, the computer and telecoms equipments branches of the company’s business saw their profits raised by almost 10% in the first quarter. The investors are now feeling apprehensive because the shares of the company have fallen 65% since the fourth quarter of 2006.
Motorola is not the only company facing such loss. Sony Ericsson has also announced its sales slouching by 8%. Other biggie Nokia though has seen overall rise in the sales due to emerging markets, still it is struggling in the American and European markets.
Tags: Nokia, Sony Ericsson, Motorola
Sony Ericsson’s latest addition the top end featured and pocket sized mobile phones is the all new Sony Ericsson G502, a candybar design handset which is aimed at the mid range market. The inclusion of HSDPA Mobile Broadband connectivity is one of its biggest advantages.
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