News Summary: Google cutting 4,000 at Motorola

Associated Press
FILE - In this Feb. 2, 2011 file photo, a Motorola Mobility Xoom tablet is shown at Google headquarters in Mountain View, Calif. On Monday, Aug. 13, 2012, Google announced it is cutting about 4,000 jobs at its Motorola Mobility cellphone business and will close or consolidate about one-third of its 90 locations. (AP Photo/Paul Sakuma, File)
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FILE - In this Feb. 2, 2011 file photo, a Motorola Mobility Xoom tablet is shown at Google headquarters in Mountain View, Calif. On Monday, Aug. 13, 2012, Google announced it is cutting about 4,000 jobs at its Motorola Mobility cellphone business and will close or consolidate about one-third of its 90 locations. (AP Photo/Paul Sakuma, File)

REDUCTIONS: Google is cutting about 4,000 jobs at its Motorola Mobility cellphone business — about 20 percent of Motorola Mobility's 20,000 employees, and 7 percent of Google's overall work force.

NEW OWNER: The job eliminations come three months after Google bought the once-dominant U.S. cellphone maker for $12.4 billion.

BIGGER PICTURE: The cellphone pioneer has been struggling for years. It hadn't produced a mass-market hit since it introduced the Razr cellphone in 2005. Before the acquisition, Motorola had been trying to turn itself around by focusing on smartphones, and the cuts announced Monday will shift that goal even further.

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