Motorola Mobility (NYSE: MMI), in the process of finalizing a $12.5 billion deal to be purchased by Google (Nasdaq: GOOG), said it likely will miss its previously announced fourth quarter sales figures, blaming an increasingly competitive environment in the mobile device business and higher legal costs associated with ongoing Intellectual Property (IP) litigations.
Motorola said it expects sales of $3.4 billion for the quarter, below the $3.88 billion most analysts had expected. The company said its Home business, which includes set-top boxes, should have sales in excess of $900 million.
In August, Goolge entered into a definitive agreement to buy Motorola for $40 per share in cash, or a total of approximately $12.5 billion. Motorola Mobility stockholders approved the proposed merger with Google in November. The deal is expected to close in the first half of 2012.
Motorola Mobility will release results after markets close on Jan. 26.
- see this release
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