Motorola 2006 Annual Report Download - page 125

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117
Force Computers
In August 2004, the Company acquired Force Computers (""Force''), a worldwide designer and supplier of
open, standards-based and custom embedded computing solutions, for $121 million in cash.
The Company recorded approximately $59 million in goodwill, none of which was deductible for tax
purposes, a $2 million charge for acquired in-process research and development, and $35 million in other
intangibles. The in-process research and development costs were written off at the date of acquisition and have
been included in Other Charges in the Company's consolidated statements of operations. Goodwill and intangible
assets are included in Other Assets in the Company's consolidated balance sheets. The intangible assets will be
amortized over a period of 5 years on a straight-line basis.
The results of operations of Force have been included in the Networks and Enterprise segment in the
Company's consolidated financial statements subsequent to the date of acquisition. The pro forma effects of this
acquisition on the Company's consolidated financial statements were not significant.
2007 Acquisitions
Symbol Technologies, Inc.: In January 2007, the Networks and Enterprise segment completed the acquisition
of Symbol Technologies, Inc. (""Symbol''), for approximately $3.9 billion in cash. Symbol is a leader in designing,
developing, manufacturing and servicing products and systems used in end-to-end enterprise mobility solutions
featuring rugged mobile computing, advanced data capture, radio frequency identification, wireless infrastructure
and mobility management.
Good Technology, Inc.: In January 2007, the Mobile Devices segment completed the acquisition of Good
Technology, Inc., for approximately $500 million in cash. Good Technology, Inc. is a leader in enterprise mobile
computing software and service.
Netopia, Inc.: In February 2007, the Connected Home Solutions segment completed the acquisition of
Netopia, Inc., for approximately $200 million in cash. Netopia, Inc. is a broadband equipment provider for DSL
customers, which allows for phone, TV and fast Internet connections.
Intangible Assets
Amortized intangible assets, excluding goodwill were comprised of the following:
2006
2005
Gross Gross
Carrying Accumulated Carrying Accumulated
December 31 Amount Amortization Amount Amortization
Intangible assets:
Licensed technology $119 $107 $112 $104
Completed technology 486 334 407 285
Other intangibles 285 95 149 48
$890 $536 $668 $437
Amortization expense on intangible assets, which is included within Other and Eliminations, was $100 million,
$67 million and $52 million for the years ended December 31, 2006, 2005 and 2004, respectively. As of
December 31, 2006 future amortization expense is estimated to be $116 million for 2007, $85 million in 2008,
$69 million in 2009, $48 million in 2010, and $29 million in 2011.