14 DAY TRIAL // Motorola is one of the mobile phone makers that have been affected by the economical turmoil, and not only, and which have seen their market share go down lately, along with their revenues. In order to get things back on track, the company is expected to come to the market this year with a series of attractive mobile phones, among which Android-based devices might be included.
In order to return to the floating line, the company does not intend to release high-end Android-powered mobile phones, given the fact that the area seems to be already a bit crowded. Instead, it will aim at the mid-level segment, where the handsets are expected to see more traction from users. At the same time, it seems that the company also plans on looking closely at the lower-end market, leaving the high-end segment for the others.
“There's a lot of competition in the high-end category and not a big movement to address the lower price points,” Avian Securities analyst Matt Thornton told BusinessWeek. “It's a smart move. Motorola needs to be more near-term and start making some money.”
In case the company indeed aims at the mid-range segment, its revenues should be boosted a lot. According to Barclays Capital analyst Jeff Kvaal, reports BusinessWeek, the new smartphones Motorola is expected to come to the market with should be able to enhance the company's overall average selling price for handsets to $147 in Q4, compared to $123 in Q1. At the same time, Kvaal also estimates that the Android additions could leverage Motorola's sales by 20 percent next year, up to 70 million units.
However, some earlier reports pointed towards the fact that the company's Android handsets would be sold on the market before the end of the year via T-Mobile USA and Verizon Wireless. At the same time, Motorola's executives already stated that the maker would join the Android boat, though no other details have been unveiled.