Google Axes Motorola Mobility Branch In IsraelBy: Chris Crum - August 20, 2012
Google announced last week via SEC form 8K that it would be eliminating 4,000 jobs from the recently acquired Motorola Mobility, and close a third (about 30) of its facilities.
“These changes are designed to return Motorola’s mobile devices unit to profitability, after it lost money in fourteen of the last sixteen quarters,” Google said in the filing. “That said, investors should expect to see significant revenue variability for Motorola for several quarters. While lower expenses are likely to lag the immediate negative impact to revenue, Google sees these actions as a key step for Motorola to achieve sustainable profitability.”
The publication obtained a statement from Motorola Mobility, saying, ”We are closing the local branch, and the employees will not remain at the company.”
It should only be a matter of time before we see similar reports about other locations. Read the SEC filing here.
Google acquired Motorola Mobility earlier this year for $12.5 billion.