Motorola 2013 Annual Report Download - page 4

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2
Services: Services in this segment are comprised of integration and customization services, installation, and maintenance
services for both public safety and private communications networks. Our lifecycle management services have been expanded
to include: (i) offerings which maintain system operations via hardware and software maintenance, (ii) device management,
(iii) migration assistance programs to ensure the customer system remains up-to-date on software and hardware, and (iv) full
turn-key managed service agreements where we maintain and manage networks on the customers' behalf.
Our Strategy and Focus Areas
Our strategy in the Government segment is to partner with our customers to enable them to efficiently deliver reliable
services through our innovative products and best-in-class services. We have a history of delivering these products and services
by focusing on the following areas:
Building technology that is second nature to the mission-critical user
Building technology that improves productivity and safety
Driving innovation and thought leadership
Ensuring security and resiliency
Providing ongoing support for customer investments
Delivering complete solutions, comprised of infrastructure, devices, system software and applications, and services to
solve complex communication needs
This focus provides us with the leadership position we have in our core products. We have demonstrated strong and
consistent financial results by: (i) leading the ongoing migration to digital products, (ii) managing the public/private
convergence of 700MHz public safety systems in the U.S. and digital dividend spectrum worldwide, (iii) continuing to innovate
APCO P25, TETRA and DMR standards-based voice and data communication systems around the world, and (iv) enhancing
our services offerings through network and application integration, and network and device management.
We believe we have the scale and global presence in the Government segment to continue to maintain a leadership
position in our core products. We have over 10,000 systems deployed in over 130 countries around the world. These systems
have a multi-year useful life to the customer. We believe many of our government and commercial customers globally have yet
to replace aged analog communications networks with next generation digital systems that enable enhanced features and more
efficient use of spectrum, providing us opportunities to help customers migrate to these digital systems.
New functionality and new markets continue to emerge in the industry which provide us opportunities for growth by
enhancing the value we deliver as a full solutions vendor. Our Government segment pursues a growth strategy which includes:
(i) the development of next-generation public safety solutions including devices, public safety LTE systems, and critical
command center applications that include voice, data and video, (ii) development of new products for use in vertical market
expansion, (iii) geographical penetration, and (iv) on-going refresh of our product portfolio.
Our investment in research and development ("R&D") for next generation public safety broadband networks based on the
LTE standard is a reflection of our belief that LTE is an important next generation tool for our public safety and first-responder
customers. We believe our expertise in both public and private mission critical and business critical networks makes us well-
positioned to provide public safety LTE solutions. We are developing a robust public safety LTE product portfolio and
pursuing FirstNet early adopters, as well as customers with access to spectrum. We are pursuing our international funnel of LTE
solutions while the United States ("U.S.") completes its LTE implementation plan (see Regulatory Matters for further
discussion).
We continue to pursue different geographies as part of our growth strategy. Geographical penetration is accelerated by
our investments supporting: (i) different regional interfaces, (ii) different languages, (iii) tailored form factors, and (iv) unique
feature sets.
Our Government segment growth strategy also includes the development of products and services for core-adjacent
markets outside of the public safety and commercial markets we currently serve. A portion of our new product introductions in
recent years include specialized products for the hospitality, mining, classified communications, military, transportation,
education and utility vertical markets ("verticals").
Our Customers
We address the communication needs of government agencies, state and local public safety and first-responder agencies,
and commercial and industrial customers who operate private communications networks and manage a mobile workforce. Our
customers rely on us for the expertise, products and services we provide and trusting our years of innovation. By partnering
with customers and observing how our products can help in their specific industries, we are able to enhance our customers’
experience. We believe government and commercial customers globally are just beginning to experience the benefits of
converged wireless communications, mobility and efficiencies realized through mobile broadband.