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Motorola Mobility handing Chinese, Brazilian operations to Flextronics

BusinessNews
by Stephanie Mlot, 12 Dec 2012News
Motorola Mobility handing Chinese, Brazilian operations to Flextronics

Google's Motorola Mobility unit will begin outsourcing some of its manufacturing operations to a new partner next year. Flextronics announced that it will acquire Motorola's operations in Tianjin, China, and will manage and operate its factory in Jaguariuna, Brazil.

Employees and assets at both locations will transfer to Flextronics after the deal is finalised, likely in the first half of 2013. The deal also covers a manufacturing and services agreement for Android and other mobile devices. Financial terms were not disclosed.

"The agreement with Flextronics is an important step forward for us in transforming our overall supply chain into a competitive advantage for Motorola Mobility," Mark Randall, senior vice president of supply-chain and operations for Motorola, said in a statement.

"Flextronics has been our partner for many years, and their expertise and experience in manufacturing will enable us to focus on other areas of the supply chain where we can add the most value," he said.

Flextronics CEO, Mike McNamara, said he looks forward to leveraging his company's "extensive manufacturing expertise and supply chain solutions to provide Motorola Mobility with increased value."

This news follows Motorola's announcement that it will shut down almost all of its South Korean operations next year, as part of a Google-led reorganisation.

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