Motorola Takes Big Losses in Q3

Since Google purchased Motorola Mobility in 2011, its subsidiary has been a pretty significant drain on the search company’s profits. With the release of the Moto X, its latest flagship phone, the company is hoping to bring in a few more bucks. Even so, Q3 losses sit at $248 million – significantly better than its second quarter, which ran $342 million behind, but also $56 million more than last year’s third-quarter.

That said the new iPhone lines and the rapidly advancing Samsung are both giving Motorola stiff competition in the smart phone arena. Google is far from the red though, despite the consistent, heavy losses from its own smart phone division. 

Only time will tell if its new US-based factories will be kept busy with new Moto X's and Droids, but Google certainly seems to know what its doing -- at least when it comes to business.

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  • Pallimud
    This article is pretty confusing. Is it talking about Motorola Mobility (which Google owns) or Motorola the independent company? It goes from one to the other, not making it clear who is losing money.

    It would be understandable that Motorola Mobility is losing Google money right now since they just finally released their first phone. You can't make money if you have no products.
  • wemakeourfuture
    Motorola, Sony, Sharp, Panasonic, RIM, HTC, Nokia all are decaying as companies.
    This has been evident since the touch-smartphone revolution happened and they have found no penetration in the market. These are like the names of electronic companies in the 70s that faded away. They're fresh in our minds so we think of them as the giants they once were, but they are all turning into footnotes into history.

    Sony has the best chance to stay afloat. They are a shadow of themselves but can still be somewhat of a player in the space.
  • JD88
    A large portion of this is likely due to the transition from the crappy pre-Google product line to the new product line.

    Also, getting that factory up and running in Texas probably didn't help either. The Moto X is one of the best phones on the market right now and the refreshed Droid lineup much better as well. Sales should start to reflect that once those products are accounted for and there is a more worldwide release.