Motorola expected to cut more jobs as it simplifies around Android
Ugh, it looks like Thursday is shaping up to be another sad Moto day. The Wall Street Journal is reporting this morning that Sanjay Jha, former Qualcomm exec and Motorola co-CEO tasked with resurrecting Motorola's mobile-devices division, is about to slash jobs in an effort to bring costs and production under control. Though obviously unwelcome news, it likely won't come as a surprise to employees since Jha reportedly told them that Motorola has two to three times as many employees working on individual projects compared to its competitors. Cuts will likely number in the "thousands," according to the WSJ's sources, and could come as early as Thursday when Motorola announces earnings... or more likely, lack thereof. Motorola has already shed 10,000 jobs since the start of 2007. In addition to job cuts, Jha plans to "scrap dozens of phone designs" while scaling back its mobile-OS inventory from more than a half-dozen to just three: Android for multi-media and Internet showcase phones, Windows Mobile for ho-hum business devices, and its own P2K for low-end phones. Moto will likely outsource at least some of its WinMo phone production as well. As to his motivation: $100 million and 3 percent stock if Mr. Jha manages to spin-out the mobile devices division into an independent company by late 2010. $30 million if he fails. Win-win, eh Sanjay?
