Telecom major Motorola has announced that it will sell its embedded communications
business to Emerson Electric at a price of $350 million.
division has about 1,100 employees, and had recorded revenues of about $520 million
computing technology is mainly used to control machines or other computer systems,
and to manipulate data.
said the deal bolsters St. Louis-based Emerson''s position in the $6 billion merchant
embedded computing industry, while simultaneously sharpens focus on its core cell
phone businesses for Motorola, in addition to providing additional capital to
propel growth and enhance shareholder value.
completion of the transaction, Motorola''s ECC business will become part of Emerson
Network Power, and the transaction is scheduled for completion by the end of the
calendar year, subject to customary closing conditions and regulatory approvals.
Based in Tempe,
Arizona, Motorola''s ECC business has driven open standards and pioneered technologies
based upon them since its formation in 1980. It is a leading provider of embedded
computing products and services to communication infrastructure and equipment
manufacturers in telecommunications, medical imaging, defence and aerospace and
Emerson, the deal enhances its ability to meet embedded computing needs of customers
in telecommunications and other industries, besides bringing complementary advanced
technology and the options to leverage existing marquee customer relationships
with Emerson Network Power''s embedded computing and embedded power businesses.
Motorola''s press release, the primary purpose of embedded computing technology
is to control machines or other computer systems and manipulate data.
example, in telecommunications, embedded computing consolidates, translates, routes
and monitors voice, video and data information across multiple networks. Local
and long distance wire line offices and wireless base stations depend on embedded
computing technologies to operate at peak performance.