Beleaguered telecom vendor Motorola has decided to separate its Home & Networks Mobility Group into three separate businesses, a move that many believe may make the businesses easier to sell off. The Home & Networks Mobility Group, which was created just a year ago as a combination of the firm's set-top box division and its connected home group, now is splitting into three units. The Broadband Home Solutions unit, which will include the cable set-top box business, will be headed by John Burke. The Cellular Networks group, which will make large-scale infrastructure equipment used by cellular operators, will be led by Fred Wright. And the Broadband Access Solutions group, which will make 4G technologies such as WiMAX, will be headed by Dan Moloney, who also oversees the entire division.
The Home & Networks Mobility Group has been profitable compared to the firm's mobile devices unit. Many analysts believe that either the entire division or parts of it are attractive to other industry vendors.
Motorola is scheduled to release its second quarter earnings Thursday. Avian Securities has forecast that the Home & Networks Mobility group will have a second quarter revenue of $2.6 billion, up 9 percent over the prior quarter.
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