Motorola Mobility loses $32 million as Xoom sales collapse in Q3
Motorola Mobility announced revenues of $3.3 billion in the third quarter on sales of 4.8 million smartphones and just 100,000 Xoom tablets that resulted in an operating loss of $32 million.
The company's Mobile Devices group contributed $2.4 billion toward overall revenues, shipping 11.6 million mobile devices, 4.8 million of which were Android smartphones. But that group itself lost $41 million in the quarter.
Compared to its year ago quarter, Motorola's Mobile Devices group sold 2.5 million more phones (up from 9.1 million total) but only 1 million additional smartphones (up from 3.8 million). Over the last three quarters of 2011, Mobile Devices has lost $215 million.
Earlier in the year, Motorola had shipped 250,000 Xoom tablets in the first quarter and then 400,000 in the second quarter, making this quarter's trickle of 100,000 evidence that the Android 3.0 Honeycomb flagship has sunk.
Motorola's Home segment, which builds set top boxes and video equipment, brought in just $825 million but its earnings contributed $54 million.
Google announced plans in August to acquire Motorola Mobility, ostensibly to use its patents to "protect" Android from intellectual property infringement cases. However, Motorola's stated objectives indicate that Google was really trying to prevent Motorola from suing other Android licensees itself. Motorola had also threatened to build its own mobile OS or join Microsoft in making Windows Phone 7 devices.
Motorola stated that its acquisition by Google "is expected to close by the end of 2011 or early 2012," and that the company "will hold a special meeting of stockholders on Nov. 17, 2011, to seek stockholder approval of the proposed merger with Google."
The company's Mobile Devices group contributed $2.4 billion toward overall revenues, shipping 11.6 million mobile devices, 4.8 million of which were Android smartphones. But that group itself lost $41 million in the quarter.
Compared to its year ago quarter, Motorola's Mobile Devices group sold 2.5 million more phones (up from 9.1 million total) but only 1 million additional smartphones (up from 3.8 million). Over the last three quarters of 2011, Mobile Devices has lost $215 million.
Earlier in the year, Motorola had shipped 250,000 Xoom tablets in the first quarter and then 400,000 in the second quarter, making this quarter's trickle of 100,000 evidence that the Android 3.0 Honeycomb flagship has sunk.
Motorola's Home segment, which builds set top boxes and video equipment, brought in just $825 million but its earnings contributed $54 million.
Google announced plans in August to acquire Motorola Mobility, ostensibly to use its patents to "protect" Android from intellectual property infringement cases. However, Motorola's stated objectives indicate that Google was really trying to prevent Motorola from suing other Android licensees itself. Motorola had also threatened to build its own mobile OS or join Microsoft in making Windows Phone 7 devices.
Motorola stated that its acquisition by Google "is expected to close by the end of 2011 or early 2012," and that the company "will hold a special meeting of stockholders on Nov. 17, 2011, to seek stockholder approval of the proposed merger with Google."
Comments
Only asian companies makes money from android?
What IS wrong with USA companies?
License kills innovation urge.
I can se Samsung selling its own OS in A near future, SONY perhaps ?
Build yr own future, stop riding on someone's else back.
Look at German car makers, they build the ultimate tech for the automobile, if you do not like Apple.
Xoooooomm , what was that? Where did it go?
At a local mall, I see an Verizon kiosk where a Xoom, Galaxy and iPad2 are on display. Only the iPad is on. The Xoom and Galaxy are turned off. Which device do passersby look? They all try out the iPad. Nobody paid attention to the other 2 things. How pitiful!
Collapse?? We all know the real story, every android maker operate the same way, they stuff market channel with hundred thousand crappy devices, post record shipping numbers who everyone interpreted like amazing sold numbers, and after one or two quarter retails channel bounce back all they're unsold inventory back to their face or liquidate stocks.
At a local mall, I see an Verizon kiosk where a Xoom, Galaxy and iPad2 are on display. Only the iPad is on. The Xoom and Galaxy are turned off. Which device do passersby look? They all try out the iPad. Nobody paid attention to the other 2 things. How pitiful!
Same thing happens at Best Buy and Target too. My guess is the non-iPads break and no one gives two craps to replace them or get them fixed.
Motorola Mobility announced revenues of $3.3 billion in the third quarter on sales of 4.8 million smartphones and just 100,000 Xoom tablets that resulted in an operating loss of $32 million.
Someone famous recently said that Android was a train wreck.
This is what a $32 million train wreck looks like.
It was clear that it was a total failure the minute they announced it. I said it back then, and I'm saying it now. Some people just don't have good judgement and they're not very bright, or perhaps these people have extra money lying around that they don't mind throwing away.
And besides their horrible product, the ad campaign really, really sucked. A retard could come up with a better idea. I remember the ad being some dork sitting in a spaceship or something.
The people in charge of Motorola are clueless idiots, and the Xoom is proof of that. And if the leadership of Motorola is made up of clueless morons, then what might the people who actually bought a Xoom be? That's quite easy, they're even dumber.
I wouldn't want a Xoom, even if it cost $49.99. I question the sanity and the intelligence of anybody who bought a Xoom at any price.
It's called the "anything but Apple" syndrome. The nerd tech wannabes will buy anything that doesn't have the Apple logo on it and call it "superior." And they'll tell you how happy they are with their choice. There is, in fact, an anti-Apple RDF.
It's called the "anything but Apple" syndrome. The nerd tech wannabes will buy anything that doesn't have the Apple logo on it and call it "superior." And they'll tell you how happy they are with their choice. There is, in fact, an anti-Apple RDF.
I find it hilarious that there are dumb people out there who would go and blow money on failed products and gigantic flops just because they hate Apple. I don't want these people to convert to Apple, I want them to keep buying flops and failures.
Put an iPad into the hands of someone who has never used one, and you've started a chain of new buyers. The damn thing is just addictive.
unlike the total Fandroid suckers who bought the 2010 7" Samsung Galaxy tab - 2 million shipped! - that is pathetically stuck with Froyo forever. gee ... no one at Engadget and the other Droid fanboy sites ever mentions that one anymore, kinda like the family member who went to jail ...
Why buy the Xoom when you can get the Galaxy Tab 10.1 or ASUS Transformer? Both are much better products.
None of the other Android tablets are better due to the deficiencies of the OS. Regarding the Android tablets, you could double the processor performance, double the screen resolution, half the weight, double the battery life ... and still, they will not compare favorably to the iPad.
(thats my take on the steve jobs philosophy that made Apple. these other companies are run by greedy dimbulbs that only care about how 'hip' and important they themselves are)
Why buy the Xoom when you can get the Galaxy Tab 10.1 or ASUS Transformer? Both are much better products.
Why buy an inferior iPad clone when you can buy the real thing? Android is a total mess on phones, and even worse on tablets.