Demand for Motorola handsets was down during the first quarter of this year, as the electronics giant became the latest mobile phone manufacturer to be hit by the credit crunch.
The company reported that sales of its mobile phones for the three-month period to March 31st stood at 14.7 million units. This compares with a figure of 27.4 million in the fourth quarter of 2008.
As a result of the slide in consumer demand, Motorola’s mobile phone division’s losses widened to £341 million.
Responding to the latest results in a conference call, Motorola’s co-chief executive Greg Brown remained bullish and said that the company had done all it could to limit the impact of the credit crunch on its business.
He commented: “Amidst a very difficult economic environment, our results reflect disciplined execution and solid traction on our cost reduction efforts.”
Motorola is this year gearing up for the release of a raft of new handsets, such as the high-end Motorola Aura as well as at least two Android-powered mobile phones which are intended to compete with the HTC Magic and the T-Mobile G1.
Was this article helpful?