A potential buyer for Motorola's mobile division: Ericsson
Sony Ericsson has recently been trailing behind competitors Nokia, Samsung, and Motorola in sales, but with Motorola's recent announcement of mobile business restructuring, its co-parent Ericsson is considering an uncharacteristic move.
Ericsson's company strategy has never been to seek out acquisitions and deals, but rather to focus on R&D and "organic growth." But with a new president, Hideki Komiyama, for its Sony Ericsson division jointly owned with Sony, Ericsson could be poised to move in a new direction. Komiyama recently told Reuters that the company would be giving higher priority to North America and higher-income consumers in emerging markets in 2008.
Motorola, just as NPD analyst Ross Rubin told BetaNews on Wednesday, is a strong brand name in North America, which also has its fair share of devices targeting higher-income consumers.
Details of Motorola's restructuring, however, are still dubious, and Ericsson has said it will watch carefully any assets the company offers for sale.
Komiyama predicted his company would "overtake at least one" of its rivals during the course of this year to move Sony Ericsson into a position among the top three phone makers. A merger between Sony Ericsson and Motorola, facilitated by an Ericsson buyout, might be one way to accomplish that.