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Motorola retools Internet unit

Tue, 06/04/2002 - 8:00pm
Susan Rush

Motorola Inc. is restructuring again. In what has become almost an annual ritual, the electronics giant is shuffling another one of its divisions, this time in an effort to advance the IP industry. The company is splitting its IP Systems Group into three businesses: IP Communications Gateway, IP Systems and Transmission Network Systems.

The IP Communications Gateway business will focus its efforts on consumer applications such as wireless home networking and streaming audio. The applications will be based on Motorola's DOCSIS cable modems. Motorola has shipped roughly 8 million cable modems to date. John Burke will run the unit.

The IP Systems unit provides new infrastructure technology and service management products. Specifically, the unit will concentrate on supporting broadband video, voice and data applications. Last year, Motorola acquired RiverDelta Networks to enhance its IP network infrastructure product offering. Bruce Swail will lead the IP Systems unit.

The Transmission Network Systems business zeros in on optical networking capabilities and telecommunications, including products designed for high-speed fiber-optic networks. Charles Dougherty will run the TNS unit.

The IP Systems Group was formed in February 2001, when Motorola split its Broadband Communications Sector unit into two separate entities. The Entertainment Group also was split out from the Broadband Communications Sector unit at that time to focus on the North American digital cable market.

Separately, Motorola announced the sale of its Mexico-based set-top box and cable-modem repair business to Manhattan Digital Corp. Financial terms were not disclosed.

Manhattan Digital expects to operate the business out of the existing facility in Matamoros with the same employees.

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