Daily Archives: August 5, 2008

John Gapper

I suppose you can’t argue with the market but I do wonder about the price Motorola has paid to lure Sanjay Jha from Qualcomm to become chief executive of its troubled mobile phone division.

Mr Jha apparently wanted to be the chief executive of a public company – and doubted whether Paul Jacobs was going to move over at Qualcomm – but his pay and benefits package is reminiscent of a private equity deal.

Motorola plans to spin off its mobile phone arm and, if it does, Mr Jha gets to own 3 per cent of the company. If it does not, he will be paid $30m to compensate him for his time and trouble. His entire package is estimated as being worth up to $94m.