Motorola Split Into 2 Companies | Motorola Solutions | Motorola Mobility Holdings

Telecommunications equipment giant Motorola will split into two separate companies

• Motorola Solutions
• Motorola Mobility Holdings

effective 4 January 2011. Motorola is splitting its consumer oriented side, focused on mobile phones and consumer devices, from the side that provides next-generation communications solutions to government, public safety and enterprise customers. Following the breakup, the company’s current co-CEOs, Greg Brown and Sanjay Jha, will head up Motorola Solutions and Motorola Mobility, respectively.

Breakup is motivated by the desire to present two simple stories to investors, rather than one complicated one. Though Motorola set the breakup plan in motion in 2008 after prodding from activist investor Carl Icahn. The goal was to complete the separation by 2009, but the economic downturn and the continuing collapse of Motorola's phone sales prompted it to postpone the plan, The Associated Press mentioned in a report.

On 4 January, Motorola Solutions will begin trading on the New York Stock Exchange under the ticker symbol MSI; while Motorola Mobility will trade under MMI.