Siemens’ Cell Phone Quandry

Another quarter, another loss. Siemens management is desperately looking for ways to get out of the commoditized handset business, which has become something of a drag on the bottomline. In the most recent quarter, the handset division posted a loss of €138 million as unit sales nose dived 27% to 9.3 million. In an earnings conference call, the company confirmed that it is looking at options for the handset unit, including partnerships. The company says it is unlikely to keep a majority stake in the operation. Meanwhile, Acer says it is not interested. Wireless Week suggests Moto-Siemens hook-up.

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