Motorola has lowered its revenue forecast by $1-billion for the first quarter and made two new senior appointments, citing disappointing handset sales for the moves.

According to Computerworld, Greg Brown has been appointed president and chief operating officer with immediate effect, and Thomas Meredith takes over from David Devonshire as acting CFO.
The report quotes Motorola CEO, Ed Zander, as saying: "Performance in our mobile devices business continues to be unacceptable, and we are committed to restoring its profitability. Returning the business to acceptable performance will take more time and greater effort."
The company says sales for the first quarter have been revised to $9.2 billion to $9.3 billion, more than $1 billion below an earlier forecast.
The revisions are attributed to lower-than-expected sales and operating earnings in the mobile devices business due to lower overall unit volumes; a difficult pricing environment, particularly for low-tier products; and a limited 3G product portfolio, says the report.
Poor sales in high-end 3G handsets in Europe have especially hurt Motorola, and the company says it has to develop in the 3G area.
Zander says other strategies to be adopted to improve handset sales include using open standards Linux and Java software across mid- and high-tier devices, accelerating a strategy for using more cost-competitive silicon chips, introducing new feature-rich products, and simplifying the platform and product portfolio.