Hummm. MOT line products wouldn't sell, so they kept a stake and went with an investment group.
Motorola Reaches Agreement to Sell Transmission Products Division To International Investor Group
CPATH, Inc., Formed to Capitalize on the Ongoing Business and Further Expand Award-Winning SURFR Series(R) Product Line
MANSFIELD, Mass., April 29 /PRNewswire/ -- Motorola's Information Systems Group (ISG) today announced it has signed a definitive agreement with an international group of investors to sell its Transmission Products Division located in Huntsville, Ala. The transaction is expected to be complete on or about May 8, 1998. The new business will be named CPATH, Inc., and will be headquartered in Huntsville, Ala., the site of the existing Motorola division. Motorola, Inc. will retain an equity interest in CPATH, Inc. "The sale to these investors represents an investment in the excellent manufacturing, customer support, sales channels and employee base developed over the years by Motorola," said Iain Morris, Motorola corporate vice president and former general manager of the Huntsville division. "We believe our customers will be pleased with the services and quality products CPATH will offer as we expand into the consumer electronics market," said Rick Lane, vice president and general manager of TPD's Mass Market business and future chief executive officer of CPATH, Inc. "We will market our successful SURFR Series of communication products, and will also capitalize on our manufacturing and customer service competencies to provide even more value for the customer." Motorola will continue to develop corporate, cable and software modems at other facilities. In addition, Motorola products produced in Huntsville, including terminal adapters and some modem lines, remain in the Motorola portfolio. Motorola will provide customer service and support for modems previously sold by the Transmission Products Division. As previously announced, Motorola plans to release V.90-compliant software upgrades in Q2 1998 for customers who purchased SURFR Series modems. Motorola will provide information about these upgrades on its Web site: www.motorola.com/modems. Although CPATH plans to expand its product portfolio, it will continue to manufacture and distribute the award-winning SURFR Series, including the ModemSURFR 56K, VoiceSURFR 56K, MobileSURFR 56K and BitSURFR Pro. The SURFR Series of products is used in homes and businesses for Internet access, telecommuting and other computer communication applications. Motorola's Information Systems Group (ISG) develops, builds, and markets solutions that help customers profit from the power of multimedia business and personal communications. Product families include cable, corporate and software modems, and a broad range of internetworking equipment. ISG is part of Motorola's Messaging, Information and Media Sector (MIMS). ISG information is available on the World Wide Web at www.motorola.com/isg. Motorola is one of the world's leading providers of wireless communications, semiconductors, and advanced electronic systems, components, and services. Major equipment businesses include cellular telephone, two-way radio, paging and data communications, personal communications, automotive, defense and space electronics and computers. Motorola semiconductors power communication devices, computers and millions of other products. Motorola's 1997 sales were $29.8 billion. Motorola is a registered trademark of Motorola, Inc. CPATH is a trademark of CPATH, Inc. SURFR Series is a registered trademark of Motorola, Inc.
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