Motorola to Acquire R&D Expertise for 2.5G / 3G European i-mode Markets

Europe : Motorola has acquired from Melco Mobile Communication Europe ( MMCE ), a subsidiary of Mitsubishi Electric Corporation, a European team of i-mode design employees and a research center in western France. Financial terms of the transaction were not disclosed.

Inset shows Motorola's first i-mode handset, the super-sleek, compact E378i released in February 2005.

The Rennes facility will become a European i-mode focused development center for Motorola, continuing to operate in its state-of-the-art research and design center in Cesson-Sévigné ( Rennes ), France. As part of Motorola, the Rennes team will initially address the 2.5G European i-mode market. Motorola also expects the Rennes team to assist in the design and development of upcoming Motorola platforms in the 3G European i-mode markets.

"The Rennes research and development team, with its ability to design some of the most advanced i-mode products in the European market, is a welcome addition to Motorola," said Ron Garriques, president of Motorola Mobile Devices. “The Rennes team offers Motorola unmatched capabilities in i-mode development and integration, as well as strong branded services and testing skills. This acquisition builds upon Motorola’s recent success in the European market.”

Motorola noted that this transaction does not include the Japanese mobile phone business of Mitsubishi or its manufacturing or supply relationships, sales and administrative capabilities. Motorola also noted that it is not acquiring any of Mitsubishi's capital or real assets, liabilities or financial obligations.