Motorola Announces India Manufacturing Facility

Joint SEZ to be set up with Government of Tamil Nadu

CHENNAI, India, June 7 /PRNewswire-FirstCall/ -- In keeping with its strong commitment to India, Motorola (NYSE: MOT) today announced plans for a manufacturing facility with an initial investment of US $30 million. This will be scaled up to a total of US$100 million in phases. The company will establish a manufacturing plant in the 300 acre Sriperumbadur Hi-tech Special Economic Zone (SEZ) being developed jointly by Motorola and Government of Tamilnadu at Sriperumbudur, near Chennai.

Speaking on the occasion, the Union Minister for Telecom & IT, Thiru Dayanidhi Maran said, "It gives me great pleasure to be part of yet another milestone achieved by the telecommunications industry. Motorola's manufacturing facility being set up in the Sriperumbadur Hi-tech SEZ will be a further catalyst to bringing the highest level of technology and electronics manufacturing into the country. The Sriperumbadur Hi-tech SEZ being developed jointly by the state government and Motorola, when fully operational is expected to make Sriperumbadur the electronics manufacturing hub of the country. I congratulate Motorola for yet another major effort in connecting the unconnected and accelerating the country's telecom revolution."

Ron Garriques, executive vice president, Motorola Inc. and president, mobile devices business, highlighting the importance of India to Motorola's global plans, said, "India is a vitally important market for Motorola and as a strategic manufacturing hub offers a compelling value-proposition of best-in- class talent and strong cost efficiencies. Our decision to make an investment of this scale is a reflection of our continued global commitment to connect the next billion consumers."

Expected to be operational in 2007, the state-of-the-art facility will undertake full-scale production, to support a wide range of Motorola handsets. It will also support production and assembly of network base stations for products across Motorola's Networks & Enterprise portfolio.

"We have long been engaged in high-end 'soft manufacturing' and creating intellectual property in the country. With this Motorola owned facility we come full circle, delivering on the promise of leveraging India's intrinsic advantages: excellent IT skills, exceptional scientific talent, competent, mature workforce and economies of scale offered by a vast market," said Firdose Vandrevala, chairman, Motorola India and corporate vice president, Motorola Inc.

Motorola's manufacturing initiative will supplement the presence of its six R&D centres in India, including Motorola Labs, Core Networks Division, Embedded Communications Computing, and Global Software Group. These are run by approximately 3000 highly skilled engineers. Motorola established its R&D facilities at Bangalore in 1991 through its Global Software Group (GSG) which is the company's research and development arm for software engineering. GSG does cutting-edge work for the entire range of Motorola's products, including next generation wireless and broadband technologies, software platforms and application frameworks.

About Motorola

Motorola is known around the world for innovation and leadership in wireless and broadband communications. Inspired by our vision of Seamless Mobility, the people of Motorola are committed to helping you get and stay connected simply and seamlessly to the people, information, and entertainment that you want and need. We do this by designing and delivering "must have" products, "must do" experiences and powerful networks -- along with a full complement of support services. A Fortune 100 company with global presence and impact, Motorola had sales of US $36.8 billion in 2005. For more information about our company, our people and our innovations, please visit http://www.motorola.com .

MOTOROLA and the Stylized M Logo are registered in the US Patent & Trademark Office. All other product or service names are the property of their respective owners.

CONTACT: Amit Chaudhery of Motorola Communications & Public Affairs
(India), +91.98.117.03501, Email Contact , or, Girish Huria of
Genesis-Burson Marsteller, +91.98.114.51517, Email Contact

Web site: http://www.motorola.com/


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