Can the Droid save Motorola? [Source: Cnet]
Cnet asks whether the Droid will save Motorola, we hope so , but here are parts of what they say:
Judging from the hype surrounding the new smartphone, which is the first device to use the Google Android 2.0 operating system, there is a good chance the Droid could be the breakthrough device that helps Motorola rise from the ashes. But it will likely take more than a single phone to get Motorola back in the game after losing market share for nearly three years, especially as competition in the handset market intensifies.
Wall Street analysts are encouraged by the good news.
“Directionally, things are moving the right way in terms of new devices, carrier partnerships, and narrowing losses for Motorola’s Mobile Devices segment,” Mark Sue, an equities analyst with RBC Capital, said in a research note.
But Sue also cautioned that Motorola’s success is not guaranteed.
“It won’t be a smooth ride however, with timely delivery of new smartphones, high quality, and carrier endorsements key elements of Motorola’s future success,” he said.
What’s more, Motorola also faces tough competition in the smartphone market. This holiday season consumers will be inundated with iPhone alternatives. Research In Motion has two new BlackBerry devices on the market. And there are a slew of other Android phones that have recently been introduced.
In addition to the Motorola Cliq and Motorola Droid, there is also the Samsung Moment and the HTC Hero, both on Sprint’s network. T-Mobile also has other Android devices, including the G1 and the myTouch. The Palm Pre, which went on sale in June, is yet another smartphone on the market with similar functionality.
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Gary Wilkes
