Breaking: Motorola Spinning Out Handset Biz

Motorola confirmed industry speculation this morning with an announcement that it’s breaking into two separate companies, one for its mobile devices and the other for its broadband and mobility solutions business, TWICE reports.

Earlier this year Motorola said splitting the company was a possibility. According to company president Greg Brown, the move will “provide improved flexibility, more tailored capital structures and increased management focus – as well as more targeted investment opportunities for our shareholders.”

The announcement follows on the heels of Carl Icahn’s suit against the company in an attempt to access documents relating to Motorola’s weakened mobile handset business.