Motorola mulling spin-off of handset unit

As unlikely as the rumors may have seemed, it looks like they were true: Motorola is considering spinning-off its handset division into a separate business. "We are exploring ways in which our Mobile Devices Business can accelerate its recovery and retain and attract talent while enabling our shareholders to realize the value of this great franchise," Motorola CEO and President Greg Brown said in a statement. Motorola's handset unit lost some $388 million this quarter, compared to $341 million in earnings just one year ago. If the company were to sell its handset business, Motorola would effectively become a government and enterprise vendor.

For more on the news:
- see this Engadget article