[MD1] Motorola Phases Out Mac OS Business
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[MD1] Motorola Phases Out Mac OS Business

MOTOROLA ANNOUNCES PLAN TO PHASE OUT ITS MAC OS-COMPATIBLE BUSINESS

Response to Apple's Recent Decisions Limiting Licensing

Tempe, Ariz. September 11, 1997 -- Motorola Computer Group (MCG), a unit of
Motorola Inc., today announced its plan to discontinue its Mac
OS-compatible system business in response to Apple's recent decisions to
limit the introduction of its new technology and phase out future
licensing. Under the new plan, Motorola StarMax systems will be available
for sale until the end of 1997. Known worldwide for its commitment to
quality and reliability, Motorola assured the Mac OS community that all
warranty and support commitments will continue.

To underscore its support to the Mac OS community through this transition,
Motorola today also announced enhancements to its industry-leading StarMax
five-year warranty. Motorola will now provide existing and new StarMax
buyers with one full year of current telephone support up from 90 days.

Motorola had been negotiating with Apple since February of this year and
had reached essential agreement on new licensing terms in June. Given
Apple's recent decision to phase out its support for long term licensing,
the agreement could not be implemented.

Joe Guglielmi, corporate vice president and general manager of MCG
concluded "This announcement brings to an end our effort to reach agreement
with Apple on terms that would have supported our continued Mac OS
investments. Now that we have arrived at this juncture," he added, "we will
concentrate our resources on emerging opportunities in the market and on
strengthening our profitable embedded and technical systems business, where
we remain market leaders."

The company will communicate individually with its partners and customers
to assist with their future plans.

Motorola Computer Group is a leading worldwide supplier of embedded and
technical systems and Mac OS-compatible computer hardware and software
solutions. MCG corporate headquarters, along with regional headquarters for
Pan America, are located in Tempe, Arizona. Information about MCG's
products is available on the World Wide Web at http://www.mot.com/computer
or 800-551-1016.

Motorola, Inc. (NYSE:MOT) is one of the world's leading providers of
wireless communications, semiconductors, and advanced electronic systems,
components, and services. Major equipment businesses include cellular
telephone, two-way radio, paging and data communications, personal
communications, automotive, defense and space electronics and computers.
Motorola semiconductors power communication devices, computers and millions
of other products. Motorola's 1996 sales were $28 billion.

Motorola and the Motorola logo are registered trademarks of Motorola, Inc.
StarMax is a trademark of Motorola, Inc. PowerPC is a registered trademark
of International Business Machines Corp. and is used by Motorola, Inc.
under license from International Business Machines Corp. Apple, Mac and
Macintosh are registered trademarks of Apple Computer, Inc. Other brand or
product names are registered trademarks or trademarks of their respective
holders.

For More Information Contact:
Cathy Cloud/Jill Ryan
McLean Public Relations
(415) 685-3850

 
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