Motorola's chief strategy and technology officer becomes the latest senior executive to quit
17 May 2008
Motorola has been hit by a spate of high-profile resignations in recent months, after billionaire investor Carl Icahn strengthened his influence and demanded major changes in the company's management. Now, Rich Nottenburg, Motorola Inc's chief strategy and technology officer, has become the latest senior executive to quit to ''pursue other opportunities''. (See: Motorola agrees to take two Icahn nominees on board)
Nottenburg had got his chief technology officer title in December last year after replacing Padmasree Warrior, who had left, again, ''to pursue further opportunities''. In her case, opportunity came soon enough as she took up responsibility of networking firm Cisco's chief technology officer the very next day after her departure. He had been chief of strategy since 2004. (See: Motorola's Padmasree Warrior is Cisco's new chief technology officer)
Former CEO Ed Zander had also left soon after in January after coming under fire for Motorola's declining sales and gradual loosening of its grip on the cellphone market in its own backyard of the US.
Since 2007, its mobile devices division had lost a whopping $1.6 billion. Shares of Motorola have dropped 45 per cent over the past one year. The company's Mobile Devices segment has been faring very badly and in the latest first quarter posted a 39 per cent drop in sales. Icahn has been pressuring the company for more than a year to spin off its unprofitable mobile phone unit.
In March 2008, the company announced it would split into two separate publicly traded companies, spinning off its unprofitable mobile devices segment. (See: Motorola to split into two companies – mobile devices, and broadband and mobility solutions)
Nottenburg's exit was announced on Thursday in an internal memo, Motorola spokeswoman Jennifer Erickson said. His departure leaves current CEO Greg Brown with a shrinking pool of senior staff to help him steer Motorola back into the black. Also, the CFO and mobile devices division head had left the company in recent times.