Samsung Won’t Buy Motorola Handset Unit Either
By Dianne See Morrison - Tue 12 Feb 2008 05:07 AM PST
Samsung, which recently overtook Motorola (NYSE: MOT) for second place in global handset sales, said it would not be acquiring its American rival’s handset business. On Tuesday, both Sony (NYSE: SNE) Ericsson (NSDQ: ERIC) and LG (SEO: 066570) Tuesday said they weren’t touching it either. According to Reuters, which cited South Korea’s Yonhap News, Samsung’s telecommunications unit chief Choi Gee-sung said there were too many “overlapping areas and little to gain.” Plus, Samsung is gaining marketshare without it. It revealed on Monday that it could hit the high teens in market share if they hit their sales goals, and was already doing “double digit’ operating margins on their handsets which they expected to continue for the next year, according to Reuters (NSDQ: RTRSY). It also said it expected to ship more than 200 million units in 2008. Meanwhile, Motorola CEO Greg Brown said he was “fully committed” to the mobile phone business and to mobile devices.
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