Motorola’s share of the mobile handset market shrank to 13% in the third quarter, down from 22.4% a year ago. After being passed by Samsung, Motorola is now under threat by the fourth placed vendor Sony Ericsson, with a 9% market share, though it hinted at a new platform for Multimedia phones.

Other parts of the Schaumburg, Illinois-based company continued to perform well. Enterprise mobility, buoyed by a good performance at its Symbol acquisition, increased operating income to $336m on sales 47% higher at $2bn.

However, home and networks mobility saw margins under pressure with operating income down 28.5% at $165m on sales up 6% at $2.4bn.

Motorola CEO Ed Zander said the company had strengthened its position in broadband video, WiMAX, government and public safety, and the enterprise mobility markets.

Our View

Zander’s future, and that of the company, rests upon its coming up with a successful successor to its ageing Razr mobile handset.