Thursday, December 06, 2007

Selling Motorola's Handset Business to Dell is Smart

One rumor going around in the last few days is Motorola selling its handset business to Dell -- essentially breaking itself up as Carl Icahn and I have called for.

This more would be smart. Tom Meredith has been the best performing member on MOT's Senior Leadership Team this year. The former CFO of Dell is also on the board of Motorola and is well-respected. Dell, of course, also employs the former head of MOT's handset business - Ron Garriques.

With so many quesitons about Motorola's future and the lukewarm reaction to Greg Brown's proclamation last week, I would trust Michael Dell any day to better run this business.

For Dell, though, there's value here too. What's more, it is a strategically important move to keep pace with Apple in exciting new growth areas -- areas that Dell desperately covets for its own growth.

Where do I go to tender my Motorola shares?

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