Motorola says it plans to cut is quarterly research and development spending for mobile devices by about 15% by the end of the year, as part of its ongoing attempt to regain profitability. However, a spokesman for the company said the handset maker would be careful not to impede the development of new mobile phone models as it looks to cut costs.
Motorola's handset division has posted a loss for two consecutive quarters and has been criticized for a weak line-up of handsets following the success of the RAZR.
The company has reiterated that it is looking to regain its profitable position, saying that it plans to return to operating profit margins above 10%.