Dell is shutting down its mobile communications solutions division, with the head of the unit set to leave the company.
Amid a reorganisation of business units the division, previously headed up by Ron Garriques, is being disbanded while the company builds mobile devices into the corporate portfolio. A Dell spokesman told the WSJ that mobile devices had “grown to be more than a consumer-focused initiative.”
The communications solutions unit had been tasked with launching mobile devices aimed at the consumer segment such as the Dell Streak android smartphone/tablet hybrid device. Dell’s consumer business has struggled to match the performance of the corporate PC business.
Nearly two weeks ago Dell announced that it was ‘dumping’ RIM’s Blackberry devices for staff and instead moving towards its own Windows Phone 7 products which it would then use as a cost-saving business case for the launch of mobile-related services in the firm’s corporate businesses.
Dell operations and technology boss will take over from Garriques in overseeing mobile device development. Meanwhile Garriques can look forward to a $1.44 million golden handshake and consulting in 2012, said to be worth over $6 million.