Motorola Inc. bowed to investor clamor for an outsider with the appointment of former Sun Microsystems Inc. president Edward Zander as the new helmsman, officially ending the reign of the Galvin family.
Zander, who is at private equity company Silver Lake Partners, edged out Motorola President Mike Zafirovsky, who was the strongest internal candidate for the job.
Noting that his new responsibility is a challenge, Zander said he looks forward to making the vendor “the definitive industry force for today as well as the next global generation.”
The position has been vacant since Chis Galvin resigned as the company leader in September over disagreements with members of the board on managerial vision.
Zander’s choice may not only inject new blood into a company that has not only lost its premier position as a handset maker, but has lagged in infrastructure, semiconductor and a number of other areas.
“He seems full of energy and enthusiasm,” remarked Jane Zweig, chief executive officer of the Shosteck Group, adding that he will bring his skill in software to the company at a time when industry is gravitating remorselessly toward software in both devices and infrastructure. Zander is also expected to bring his expertise in innovative technology from Silver Lake, said Zweig.
She noted that although Zander does not have much experience in devices, software has become a critical part of handheld development.
Motorola has lost ground to some of the more aggressive and innovative competitors like Samsung Electronics Co. Ltd., Siemens AG and LG Electronics. Zafirovsky, fondly called “Mike Z”, will continue to handle the handset areas as chief operating officer. The company recently announced it will spin off its semiconductor unit in the fashion of Lucent Technologies Inc., which spun off Agere Systems Inc.
Zweig said Zander’s appointment is not a vote against Zafirovsky, but a deference to investor’s desire for an outsider. Zafirovsky has demonstrated an intention to work with the new CEO.
“Ed brings a wealth of experience to Motorola, and I believe that working together we can build upon Motorola’s impressive legacy to continue to be a global leader in technology and communications,” said Zafirovsky.
Zander worked for Sun for 15 years and served as president and COO until June 2002. He is credited with growing Sun to $18 billion in revenues, making it a stellar supplier in the infrastructure market.
He “oversaw the development and marketing of Solaris and led Sun’s network management, PC integration and software product suites,” said Motorola.
Zweig said the new helmsman will have to take a hard look and decide whether to take an integrated approach or decide what parts of the company will work.
“I don’t expect him to have all the answers,” she said, “he should do what makes sense.”
