Motorola Inc. has agreed to acquire Symbol Technologies, a wireless communications firm for $ 3.9 billion. The company is offering to buy Symbol's outstanding shares at $ 15 / share. The deal is seen as a union of mobile & wireless technologies.
Motorola's chairman, ED Zander, said that everything is becoming digital & everything that is digital is becoming mobile which is evident in businesses these days.
Greg Brown of Motorola said that Symbol & Motorola provide mobility services that complement each other. The top-class solutions from Symbol Technologies will become the mainstay of Motorola's Network & Enterprise Business.
Market analysts have rated the deal as a positive move. Andrew Nathanson of VDC said that Motorola Enterprise business is focusing on an RF platform by combining RFID & auto identification. He predicts more market reach of this deal to be in RFID industry.
Symbol President, Sal Iannuzzi, said RFID products, like tags, antennas & readers, have been the key focus areas for Symbol for a while but the focus was currently in investment mode. He was confident about the deal and predicted a solid boost for Symbol technologies in the market.
"As large companies are adopting and recommending this technology in a big way, the development of this technology has been further accelerated. For instance, the supermarket giant, Wal-Mart is forcing its suppliers to integrate RFID technology into their present systems", as per our report "RFID Industry Focus: Procuring Secure Physical Access Technology and Standard Choices".
The deal, subject to approval by stockholders of Symbol and regulatory approvals, is likely to be completed by the end of 2006 or in the beginning of 2007.
Related Market Research Reports:
American Mobile Handset Market Analysis (2006-2009)
Asia Pacific Mobile Handset Market Analysis
African Mobile Market Forecast (2007-2011)
