Motorola Reportedly Wants to Sell Off Declining Wireless LAN Business
Amid poor sales, Motorola Solutions is said to be looking for a buyer for its wireless LAN business. The firm is finding it tough to compete with the likes of Cisco Systems, Aruba Networks, and HP, and is even having a tough time going toe-to-toe with smaller competitors like Ubiquit Networks. Given Motorola's struggles, the company is just looking to move on at this point.
Motorola has been much more successful serving the U.S. government and other enterprise customers with communication services. That's where Motorola would like to focus its time and energy, as well as the public safety division, rather than continuing to spin its wheels in the wireless LAN business.
"It's a tough market. It's being squeezed from the top by Cisco and from the bottom by Ubiquity," people familiar with the matter told Reuters.
Motorola's wireless LAN business fell by about 5 percent in the second quarter, which came after a 30 percent drop in the first quarter. Related revenues in 2012 only totaled $216.7 million, while the company's enterprise business raked in $2.71 billion.
Motorola has been much more successful serving the U.S. government and other enterprise customers with communication services. That's where Motorola would like to focus its time and energy, as well as the public safety division, rather than continuing to spin its wheels in the wireless LAN business.
"It's a tough market. It's being squeezed from the top by Cisco and from the bottom by Ubiquity," people familiar with the matter told Reuters.
Motorola's wireless LAN business fell by about 5 percent in the second quarter, which came after a 30 percent drop in the first quarter. Related revenues in 2012 only totaled $216.7 million, while the company's enterprise business raked in $2.71 billion.
