Motorola to Combine Wireless Equipment Divisions

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7:55 am on March 7, 2006 | Category: Business, Mobile Devices, Corporate

Motorola announced plans last week to merge its government and enterprise unit with its networks business, in an effort to cut costs and streamline operations.

Combined, these two units produced revenues of $12.9 billion last year, about 35% of Motorola’s total gross sales.

45-year-old Greg Brown, who leads Motorola’s existing government and enterprise business, will be the leader of the newly combined entity, while outgoing head of networks, Adrian Nemcek, will retire from the company later this year.

Most analysts seem to think that consolidating the two divisions is a good idea, saying that in addition to reducing operating costs, it will promote a stronger spirit of cooperation within the company.