Schaumburg: Telecom major Motorola has announced that it will sell its embedded communications business to Emerson Electric at a price of $350 million.

The division has about 1,100 employees, and had recorded revenues of about $520 million in 2006.

Embedded computing technology is mainly used to control machines or other computer systems, and to manipulate data.

Motorola 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.

Upon 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 industrial automation.

For 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.

According to Motorola''s press release, the primary purpose of embedded computing technology is to control machines or other computer systems and manipulate data.

For 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.