Motorola Mobility is moving full-speed ahead in preparation for the impending Google takeover, but not in the most pleasant of ways . The handset maker is preparing to fire about 800 workers and close several facilities. The estimated cost to Moto could be as high as $31 million, but when you’ve got Google money, that’s chump change.
The vast majority of the costs associated with this endeavor come from the severance Motorola is going to have to pay to former employees, about $27 million in all. The remaining $4 million is likely going to come from costs associated with closing facilities. According to the company, these changes are aimed at improving the Motorola’s long-term financial performance. That probably mean removing positions that will no longer be needed at Google.
We can’t know for sure is this is going to affect the way Moto works in the phone business, but despite what Larry page says, the deal was probably more about patents than anything else. Shareholders are expected to approve the buyout on November 17.