SCHAUMBURG, Ill.--Motorola Inc. today reported semiconductor sales grew 7% to $1.9 billion in the fourth quarter of 2000, while chip orders dropped 19% to $1.6 billion in the period compared to a year ago. Motorola's semiconductor unit recorded operating profits of $158 million vs. $80 million in the fourth quarter of 1999.
The Schaumburg electronics company released chip sales figures as part of its fourth-quarter results. Corporate wide, Motorola's sales increased 11% to $10.1 billion in the fourth quarter, ended Dec. 31., compared to $9.1 billion in the period a year ago. The company's earnings dropped to $135 million, including special charges, compared to $323 million in the fourth quarter of 1999.
"Despite a slowdown in the growth of overall consumer spending, we expect demand for wireless, broadband, and workgroup equipment and services to grow as individuals continue to be attracted to broadband's triple play of voice, data, and multimedia and the convenience of portable communication products," said Christopher B. Galvin, chairman and chief executive officer. "Growth in embedded devices has slowed in most segments, but the demand for embedded systems that make our customers' products simpler, safer, smarter and more synchronized remains strong in the long term."
Motorola said its chip orders were down in all regions. Among major markets, orders were significantly higher in imaging/entertainment, higher in networking/computing, lower in transportation, and significantly lower in wireless and standard products, said Motorola.
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