Feeds

Icahn loses bid for seat on Moto's board

But thinks he's made his point

Bridging the IT gap between rising business demands and ageing tools

Despite his apparent failure to win a seat on the board of Motorola, billionaire investor Carl Icahn has declared victory.

Preliminary estimates of the votes cast by shareholders at the handset manufacturer's annual meeting in Chicago on Monday indicate that Icahn will not be elected to Motorola's board, with the current board members all retaining their seats.

Motorola said final results of the poll, which follows a bitter battle between the mobile phone maker and Icahn, will be available within three weeks.

In the last three months Icahn has been critical of Motorola management's ability to steer the handset manufacturer in the right direction and deliver real value for investors. At one point Icahn used a full-page ad in The Wall Street Journal to compare comments by Motorola chief executive Ed Zander to "something straight out of Alice in Wonderland".

Motorola had urged shareholders not to vote for the investor, saying he was already on too many boards and lacked knowledge of the mobile phone industry.

Icahn reportedly said at the annual meeting that irrespective of the outcome of the poll he had won because "this company has gotten the message".

The financier has taken roughly a three per cent stake in Motorola since he revealed plans in late January to seek a board seat. Despite seemingly losing his battle to get on the board Icahn said he had no plans to sell his shares.

The show of support for the board from Motorola's shareholders comes after a miserable few months for the world's second biggest handset manufacturer. It posted losses of $181m for the first quarter of this year thanks in large part to its underperforming handset division.

The mobile phone maker shipped just 45.4 million devices during the period, down from 65.7 million in the previous quarter. ENN reported last month that Motorola's share of the global handset market had dropped from 22 per cent to 18 per cent.

Zander told reporters after the meeting that Motorola was committed to bringing the handset division back to profitability. "We remain steadfast in our commitment to continue building value for all of our stockholders," he said.

He went on to mention that Motorola would unveil new mobile devices next Tuesday based on 3G and Java technologies in a bid to turn the handset division's fortunes around. Motorola had blamed a lack of 3G handsets for its poor sales performance.

Copyright © 2007, ENN

Application security programs and practises

More from The Register

next story
BBC goes offline in MASSIVE COCKUP: Stephen Fry partly muzzled
Auntie tight-lipped as major outage rolls on
iPad? More like iFAD: We reveal why Apple fell into IBM's arms
But never fear fanbois, you're still lapping up iPhones, Macs
Amazon Reveals One Weird Trick: A Loss On Almost $20bn In Sales
Investors really hate it: Share price plunge as growth SLOWS in key AWS division
Bose says today is F*** With Dre Day: Beats sued in patent battle
Music gear giant seeks some of that sweet, sweet Apple pie
There's NOTHING on TV in Europe – American video DOMINATES
Even France's mega subsidies don't stop US content onslaught
You! Pirate! Stop pirating, or we shall admonish you politely. Repeatedly, if necessary
And we shall go about telling people you smell. No, not really
Too many IT conferences to cover? MICROSOFT to the RESCUE!
Yet more word of cuts emerges from Redmond
Chips are down at Broadcom: Thousands of workers laid off
Cellphone baseband device biz shuttered
Twitch rich as Google flicks $1bn hitch switch, claims snitch
Gameplay streaming biz and search king refuse to deny fresh gobble rumors
prev story

Whitepapers

Designing a Defense for Mobile Applications
Learn about the various considerations for defending mobile applications - from the application architecture itself to the myriad testing technologies.
Implementing global e-invoicing with guaranteed legal certainty
Explaining the role local tax compliance plays in successful supply chain management and e-business and how leading global brands are addressing this.
Top 8 considerations to enable and simplify mobility
In this whitepaper learn how to successfully add mobile capabilities simply and cost effectively.
Seven Steps to Software Security
Seven practical steps you can begin to take today to secure your applications and prevent the damages a successful cyber-attack can cause.
Boost IT visibility and business value
How building a great service catalog relieves pressure points and demonstrates the value of IT service management.