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Emerson pays $350m for Motorola’s embedded computing business
Published:  28 September, 2007

The US corporation Emerson is buying Motorola’s Embedded Communications Computing (ECC) operation for $350m in cash. The business, which had sales worth around $520m last year, will strengthen Emerson’s position in the $6bn embedded computing market.

The main purpose of embedded computing is to control machines or other computer systems and to manipulate data. Application areas include industrial automation, telecommunications, medical imaging, defence and aerospace.

The Arizona-based ECC business was founded in 1980 and now has around 1,100 employees. If everything goes smoothly, the deal is expected to be concluded by the end of the year and the business will then join Emerson’s Network Power division.

"The combination of Motorola’s ECC business with the $100m embedded computing business we acquired as part of Artesyn last year, establishes Emerson as a leader in the embedded computing industry," says Emerson chief executive and president, David Farr. "Through this transaction, Emerson can provide greater capabilities to our customers as they adopt advanced new technologies and expand applications for their customers."

Motorola says that the sale will sharpen its focus on its core businesses and technologies and provide it with additional capital to drive its growth and boost shareholder value.

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