Google cuts an additional 1,200 jobs in its Motorola division

Posted Mar 8, 2013 by Eko Armunanto
Google's Motorola Mobility unit is to shed another 1,200 jobs or 10 percent of its workforce as the smartphone maker tries to return to profitability, Google said on Friday.
Google Inc. announced 4,000 Motorola job cuts last summer. The latest reductions are in addition to those and will be in countries including the U.S., China and India. "These cuts are a continuation of the reductions we announced last summer," spokeswoman Niki Fenwick said in an email to Reuters. "It's obviously very hard for the employees concerned, and we are committed to helping them through this difficult transition," she added.
Google bought Motorola last year for $12.4 billion when it had about 20,000 employees. Google has also pared the division with a planned $2.35 billion sale of the Motorola set-top business, which had about 7,000 employees. But then the email about the job cuts, which will affect workers in the United States, China and India, said, "Our costs are too high, we're operating in markets where we're not competitive and we're losing money".
The Google's acquisition is the largest ever, aiming to use Motorola Mobility's armory of patents to fend off legal attacks on its Android mobile platform and expand beyond its software business. Adding a phone manufacturing business could hurt Google's profitability and potentially alienate the other device makers that use Google's Android mobile operating system, said analysts who have been concerned about the move. Motorola's chief executive Dennis Woodside said the company would leave unprofitable markets and focus efforts on a few cell phones rather than many low-end devices. One of the new few may be the rumoured X-Phone