Motorola, Inc. () was an American multinational telecommunications company founded on September 25, 1928, based in Schaumburg, Illinois. After having lost $4.3 billion from 2007 to 2009, the company was divided into two independent public companies, Motorola Mobility and Motorola Solutions on January 4, 2011. Motorola Solutions is generally considered to be the direct successor to Motorola, as the reorganization was structured with Motorola Mobility being spun off. Motorola Mobility was sold to Google in 2012, and acquired by Lenovo in 2014.Roger Cheng, CNET. " It's official: Motorola Mobility now belongs to Lenovo." October 30, 2014. Retrieved March 7, 2017.
Motorola designed and sold wireless network equipment such as cellular transmission and signal amplifiers. Motorola's home and broadcast network products included , digital video recorders, and network equipment used to enable video broadcasting, computer telephony, and high-definition television. Its business and government customers consisted mainly of wireless voice and broadband systems (used to build private networks), and public safety communications systems like Astro and Dimetra. These businesses (except for and ) are now part of Motorola Solutions. Google sold Motorola Home (the former General Instrument cable businesses) to the Arris Group in December 2012 for US$2.35 billion.
Motorola's Mobile phone handset division was a pioneer in cellular telephones. Also known as the Personal Communication Sector (PCS) prior to 2004, it pioneered the "mobile phone" with DynaTAC, "flip phone" with the MicroTAC, as well as the "clam phone" with the StarTAC in the mid-1990s. It had staged a resurgence by the mid-2000s with the Motorola Razr, but lost market share in the second half of that decade. Later it focused on smartphones using Google's open-source Android mobile operating system. The first phone to use the newest version of Google's open source OS, Android 2.0, was released on November 2, 2009 as the Motorola Droid (the GSM version launched a month later, in Europe, as the Motorola Milestone).
The handset division (along with cable and divisions, which would later be sold to Arris Group) was later spun off into the independent Motorola Mobility. On May 22, 2012, Google CEO Larry Page announced that Google had closed on its deal to acquire Motorola Mobility. On January 29, 2014, Page announced that, pending closure of the deal, Motorola Mobility would be acquired by Chinese technology company Lenovo for US$2.91 billion (subject to certain adjustments). Lenovo to Acquire Motorola Mobility from Google – Investor Relations – Google. Investor.google.com. Retrieved on 2014-01-30. On October 30, 2014, Lenovo finalized its purchase of Motorola Mobility from Google.
The company's first products were the battery eliminators, devices that enabled battery-powered radios to operate on household electricity. Due to advances in radio technology, battery-eliminators soon became obsolete. Paul Galvin learned that some radio technicians were installing sets in cars, and challenged his engineers to design an inexpensive car radio that could be installed in most vehicles. His team was successful, and Galvin was able to demonstrate a working model of the radio at the June 1930 Radio Manufacturers Association convention in Atlantic City, New Jersey. He brought home enough orders to keep the company in business.]]
Paul Galvin wanted a brand name for Galvin Manufacturing Corporation's new car radio, and created the name “Motorola” by linking "motor" (for motorcar) with "ola" (from Victrola), which was also a popular ending for many companies at the time, e.g. Moviola, Crayola."The naming origin of Motorola" HighNames, accessed May 16, 2015, http://highnames.com/motorola-naming-origin/ The company sold its first Motorola branded radio on June 23, 1930, to Herbert C. Wall of Fort Wayne, Indiana, for $30. Wall went on to become one of the first Motorola distributors in the country. The Motorola brand name became so well known that Galvin Manufacturing Corporation later changed its name to Motorola, Inc.Harry Mark Petrakis, The Founder’s Touch: The Life of Paul Galvin of Motorola (Chicago: McGraw-hill, 1965), 58-93; “Sound in Motion,” Motorola Solutions History, accessed November 5, 2014,
Galvin Manufacturing Corporation began selling Motorola car-radio receivers to police departments and municipalities in November 1930. The company's first public safety customers (all in the U.S. state of Illinois) included the Village of River Forest, Village of Bellwood Police Department, City of Evanston Police, Illinois State Highway Police, and Cook County (Chicago area) Police with a one-way radio communication.“Calling All Cars,” Motorola Solutions History, accessed November 5, 2014, http://www.motorolasolutions.com/US-EN/About/Company+Overview/History/Explore+Motorola+Heritage/Calling+All+Cars. In the same year, the company built its research and development program with Dan Noble, a pioneer in FM radio and semiconductor technologies, who joined the company as director of research. The company produced the hand-held AM SCR-536 radio during World War II, which was vital to Allied communication. Motorola ranked 94th among United States corporations in the value of World War II military production contracts.Peck, Merton J. & Scherer, Frederic M. The Weapons Acquisition Process: An Economic Analysis (1962) Harvard Business School p.619
Motorola went public in 1943,Motorola Solutions History, “A Legacy of Innovation: Timeline of Motorola History Since 1928.” and became Motorola, Inc. in 1947. At that time Motorola's main business was producing and selling televisions and radios.
In 1955, years after Motorola started its research and development laboratory in Phoenix, Arizona, to research new solid-state technology, Motorola introduced the world's first commercial high-power germanium-based transistor. The present "batwing" logo was also introduced in 1955 (having been created by award-winning Chicago graphic designer Morton Goldsholl in late 1954).
Beginning in 1958, with Explorer 1 Motorola provided radio equipment for most NASA space-flights for decades, including the 1969 moon landing. A year later it established a subsidiary to conduct licensing and manufacturing for international markets. Motorola created numerous products for use by the government, public safety officials, business installments, and the general public.
In 1960, it introduced the world's first large-screen portable (19-inch), transistorized, cordless television. According to the 1962 Illinois Manufacturers Directory (50th-anniversary edition), Motorola had 14,000 employees worldwide of which at least 5,823 employees in 6 plants were located in Illinois. The company headquarters were at 9401 West Grand Avenue in Franklin Park and it listed TV receivers, Stereo-Hi Fi equipment as the products at this plant made by 1,700 employees. The Communications Division was in Chicago at 4545 West Augusta Blvd. where 2,000 employees made electronic communications equipment. The Military Electronics Division was at 1450 North Cicero Avenue, Chicago where 923 employees made microwave and industrial equipment. Two more Chicago locations were listed at 4900 West Flourney Street and at 650 North Pulaski but no employee count was listed for these. The last plant was listed in Quincy, Illinois at 1400 North 30th Street where 1,200 employees made radio assemblies for both home and automobile.Illinois Manufacturers Directory, Manufacturers' News, Inc., Chicago, IL, 1962, p. 1108
In 1963, it introduced the first rectangular color picture tube. In 1964, the company opened its first Research and development branch outside of the United States, in Israel, under the management of Moses Basin. The modular Quasar brand was introduced in 1967.
In 1974, Motorola introduced its first microprocessor, the 8-bit MC6800, used in automotive, computing and video game applications."Motorola: 75 Years of Intelligent Thinking", 2003, page 42 That same year, Motorola sold its television business to the Japan-based Matsushita, the parent company of Panasonic.
In 1976, Motorola moved its headquarters to the Chicago suburb of Schaumburg, Illinois.
In 1980, Motorola's next generation 32-bit microprocessor, the MC68000, led the wave of technologies that spurred the computing revolution in 1984, powering devices from companies such as Apple, Commodore, Atari, Sun Microsystems, and Hewlett Packard."Motorola - A Journey Through Time & Technology” pages 75 – 79
In September 1983, the U.S. Federal Communications Commission (FCC) approved the DynaTAC 8000X telephone, the world's first commercial cellular device. By 1998, cell phones accounted for two-thirds of Motorola's gross revenue.John F. Mitchell, Time Magazine Milestones section, July 6, 2009, p.17 The company was also strong in semiconductor technology, including integrated circuits used in computers. In particular, it is known for the 6800 family and 68000 family of and related peripheral ICs; the processors were used in Atari ST, Amiga, Color Computer, and Apple Macintosh personal computers and in the early Hewlett-Packard , and some 6800-family peripheral devices were used in the IBM PC series of personal computers.These include the MC6845 CRT Controller—used in the MDA and CGA adapters and the PCjr and emulated in the EGA, MCGA, and VGA—and the MC146818 real-time clock in the IBM AT. The PowerPC family was developed with IBM and in a partnership with Apple (known as the AIM alliance). Motorola also has a diverse line of communication products, including satellite systems, Digital data cable television boxes and modems.
In 1986, Motorola invented the Six Sigma quality improvement process. This became a global standard. In 1990 General Instrument Corporation, which was later acquired by Motorola, proposed the first all-digital HDTV standard. In the same year, the company introduced the Bravo numeric pager which became the world's best-selling pager.
In 1991, Motorola demonstrated the world's first working-prototype digital cellular system and phones using GSM standard in Hanover, Germany. In 1994, Motorola introduced the world's first commercial digital radio system that combined paging, data and cellular communications and voice dispatch in a single radio network and handset. In 1995, Motorola introduced the world's first two-way pager which allowed users to receive text messages and e-mail and reply with a standard response.
In 1997, to optimize cell phone production with room for future growth, production was moved to the new giant factory in Harvard, Il. Later with Motorola losing market share, phone assembly was moved to Fort Worth, Tx. leaving the Harvard facility.
In 1998, Motorola was overtaken by Nokia as the world's biggest seller of mobile phone handsets.
On September 15, 1999, Motorola announced it would buy General Instrument in an $11-billion stock swap. General Instrument had long been the No. 1 cable TV equipment provider, supplying cable operators with end-to-end hybrid fiber coax cable solutions. This meant that GI offers all cable TV transmission network components from the head-end to the fiber optic transmission nodes to the cable set-top boxes and cable modems, now at the availability of Motorola. GI's acquisition created the Broadband Communications Sector (BCS).
In 1999, Motorola separated a portion of its semiconductor business—the Semiconductor Components Group (SCG)-- and formed ON Semiconductor, whose headquarters are located in Phoenix, Arizona.
In June 2000, Motorola and Cisco supplied the world's first commercial GPRS cellular network to BT Cellnet in the United Kingdom. The world's first GPRS cell phone was also developed by Motorola. In August 2000, with recent acquisitions, Motorola reached its peak employment of 150,000 employees worldwide. Two years later, employment would be at 93,000 due to layoffs and spinoffs.
In 2002, Motorola introduced the world's first wireless cable modem gateway which combined a high-speed cable modem router with an ethernet switch and wireless home gateway. In 2003, Motorola introduced the world's first handset to combine a Linux operating system and Java technology with "full PDA functionality". In 2004, Motorola divested its whole semiconductor business to form Freescale Semiconductor. The Motorola RAZR line sold over 130 million units, which brought the company to the number two mobile phone slot in 2005.
In June 2005, Motorola overtook the intellectual property of Sendo for $30,000 and paid £362,575 for the plant, machinery and equipment.
In June 2006, Motorola acquired the software platform (AJAR) developed by the British company TTP Communications plc. Later in 2006, the firm announced a music subscription service named iRadio. The technology came after a break in a partnership with Apple Computer (which in 2005 had produced an iTunes compatible cell phone ROKR E1, and most recently, mid-2007, its own iPhone). iRadio has many similarities with existing satellite radio services (such as Sirius and XM Radio) by offering live streams of commercial-free music content. Unlike satellite services, however, iRadio content will be downloaded via a broadband internet connection. As of 2008, iRadio has not been commercially released and no further information is available.
Motorola failed to repeat the success of the highly popular RAZR phone, especially in competition with new smartphones like Apple's iPhone, leading to a dwindling in its mobile phone business. In 2006 the company's mobile phone market share was about 23% but by the end of 2007 it dropped to 12%, falling to third place behind Samsung. It was further halved again, to 6%, by 2009, by which time the market share was overtaken by LG, and by 2010 was overtaken by Research In Motion, Sony Ericsson and Apple. The company's shares also more than halved during the period and caused large losses. Motorola managed to recover with the release of the Motorola Droid in late 2009 with Verizon Wireless, which sold in good numbers and made the phone division profitable again by late 2010.
In 2007, Motorola acquired Symbol Technologies to provide products and systems for enterprise mobility solutions, including rugged mobile computing, advanced data capture, and radio frequency identification (RFID).
In 2010, Motorola sold its cellular-infrastructure business to Nokia Networks for $1.2 billion.JENNA WORTHAM, The New York Times. " Nokia Siemens Agrees to Pay Cash for Division of Motorola." July 19, 2010. Retrieved Jan 20, 2017.
In January 2011, Motorola split into two separate companies, each still using the word Motorola as part of its name. One company, Motorola Solutions (using a blue version of the Motorola logo), is based in the Chicago suburb of Schaumburg, Illinois, and concentrates on police technologies, radios, and commercial needs. The other company, Motorola Mobility (using a red logo), is based in Chicago (formerly at 600 US-45, Libertyville, Illinois), and is the mobile handset producer. The split was structured so that Motorola Solutions was the legal successor of the original Motorola, while Motorola Mobility was the spin-off.
On August 15, 2011, Google announced that it would purchase Motorola Mobility for about $12.5 billion. On November 17, 2011, Motorola Mobility stockholders “voted overwhelmingly to approve the proposed merger with Google Inc”.
On October 30, 2014, Google sold off Motorola Mobility to Lenovo. The purchase price was approximately US$2.91 billion (subject to certain adjustments), including US$1.41 billion paid at close: US $660 million in cash and US$750 million in Lenovo ordinary shares (subject to a share cap/floor). The remaining US$1.5 billion was paid in the form of a three-year promissory note. After the purchase, Google maintained ownership of the vast majority of the Motorola Mobility patent portfolio, including current patent applications and invention disclosures, while Lenovo received a license to the portfolio of patents and other intellectual property. Additionally, Lenovo received over 2,000 patent assets, as well as the Motorola Mobility brand and trademark portfolio.
Motorola attempted to follow the Iridium system with an envisioned Celestri constellation, to offer global, broadband "Internet in the sky" services. However, this effort was not successful, and the Celestri system was never built.
On October 16, 2004, Motorola announced that it would spin off its Semiconductor Products Sector into a separate company called Freescale Semiconductor, Inc.. The new company began trading on the New York Stock Exchange on July 16 of the following year.
On Dec. 7, 2015, Freescale Inc. was sold to NXP Semiconductor, a former Philips semiconductors European company.Dana Mattioli and Gillian Tan, Wall Street Journal. " NXP, Freescale Agree to Merger." Mar 1, 2015. Retrieved Jul 10, 2018.
In July 2006, Motorola completed the sale of its automotive business to Continental AG. Motorola's automotive unit had annual sales of $1.6 billion (€1.33 billion) and employed 4,504. The division's products included telematics systems - like GM's OnStar used for vehicle navigation and safety services, engine and transmission control electronics, vehicle control, electronics and sensors used in steering, braking, and power doors and .
In October 2008, Motorola agreed to sell its Biometrics business to Safran, a French defense firm. Motorola's biometric business unit was headquartered in Anaheim, Calif. The deal closed in April 2009. "Safran Completes Acquisition of Motorola's Biometrics Business" Motorola Solutions website, 2009-04-07. Retrieved September 26, 2011 The unit became part of Sagem Morpho, which was renamed MorphoTrak.
On February 11, 2010, Motorola announced its separation into two independent, publicly traded companies, effective Q1 2011. The official split occurred at around 12:00 pm EST on January 4, 2011. The two new companies are called Motorola Mobility (now owned by Lenovo; cell phone and cable television equipment company) and Motorola Solutions (; Government and Enterprise Business). Motorola Solutions is generally considered to be the direct successor to Motorola, Inc., as the reorganization was structured with Motorola Mobility being spun off. Motorola Solutions retains Motorola, Inc.'s pre-2011 stock price history, though it retired the old ticker symbol of "MOT" in favor of "MSI."
According to the filing, Google senior vice president Andy Rubin first reached out to Motorola Mobility in early July 2011 to discuss the purchase by some of Google's competitors of the patent portfolio of Nortel Networks Corp., and to assess its potential impact on the Android ecosystem.
Google boosted its offer for Motorola Mobility by 33% in a single day in early August, even though Motorola wasn't soliciting competing bids. The aggressive bidding by Google showed that the search engine company was under considerable pressure to beef up its patent portfolio to protect its promising Android franchise from a growing number of legal challenges.
According to the filing, Google and Motorola began discussions about Motorola's patent portfolio in early July, as well as the "intellectual property litigation and the potential impact of such litigation on the Android ecosystem".
Although the two companies discussed the possibility of an acquisition after the initial contact by Mr. Rubin, it was only after Motorola pushed back on the idea of patent sale that the acquisition talks picked up steam.
The turning point came during a meeting on July 6. At the meeting, Motorola CEO Sanjay Jha discussed the protection of the Android ecosystem with Google senior vice president Nikesh Arora, and during that talk Jha told Arora that "it could be problematic for Motorola Mobility to continue to exist as a stand-alone entity if it sold a large portion of its patent portfolio".
In connection with these discussions, the two companies signed a confidentiality and non-disclosure agreement that allowed Google to do due diligence on the company's patent portfolio.
On July 21 and 23, Jha met with Arora and Rubin to discuss strategic options between the two companies, agreeing to continue to discuss a potential sale. On the morning of August 15, the two companies entered into a merger agreement at the offered price of $40. On November 17, Motorola Mobility stockholders approved the proposed merger with Google Inc.Steven Musil, CNET. " Motorola Mobility shareholders approve Google merger." Nov 17, 2017. Retrieved Aug 30, 2017. On April 17, 2013, ARRIS Group, Inc. (NASDAQ: ARRS) announced that it completed its acquisition of the Motorola Home business from a subsidiary of Google Inc.Richard Lawler, EnGadget. " Arris closes deal to buy Motorola Home cable and internet biz from Google." April 17, 2013. Retrieved Jun 3, 2017.
Google maintained ownership of the vast majority of the Motorola Mobility patent portfolio, including active patent applications and invention disclosures. As part of its ongoing relationship with Google, Lenovo received a license to this rich portfolio of patents and other intellectual property. Additionally, Lenovo received over 2,000 patent assets, as well as the Motorola Mobility brand and trademark portfolio. Lenovo to Acquire Motorola Mobility from Google – Investor Relations – Google. Investor.google.com. Retrieved on 2014-01-30. On October 30, 2014, Lenovo finalized its purchase of Motorola Mobility from Google.
Of eighteen leading electronics manufacturers in Greenpeace’s Guide to Greener Electronics (October 2010), Motorola shares sixth place with competitors Panasonic and Sony).
Motorola scores relatively well on the chemicals criteria and has a goal to eliminate PVC plastic and brominated flame retardants (BFRs), though only in mobile devices and not in all its products introduced after 2010, despite the fact that Sony Ericsson and Nokia are already there. All of its mobile phones are now PVC-free and it has two PVC and BFR-free mobile phones, the A45 ECO and the GRASP; all chargers are also free from PVC and BFRs.
The company is also increasing the proportion of recycled materials that used in its products. For example, the housings for the MOTO W233 Renew and MOTOCUBO A45 Eco mobile phones contain plastic from post-consumer recycled water cooler bottles. According to the company's information, all of Motorola's newly designed chargers meet the current Energy Star requirements and exceed the requirements for standby/no-load modes by at least 67%.
Motorola sponsored Indian Premier League team Rising Pune Supergiant
In Madden NFL 07 franchise mode, a Motorola phone is used to communicate with coaches and agents.
Robby Gordon was sponsored by Motorola in 2007 and 2008. Motorola is on Gordon's car in NASCAR 07 and NASCAR 08.
Motorola sponsored the golf tournament Western Open from 1994 to 1999.