Wednesday, July 26, 2006

Motorola unveils thin phone for emerging markets

Reuters reports that Motorola (MOT) will "start selling the Motofone, its thinnest phone yet in high-growth emerging markets in a bid to compete better against bigger rival Nokia (NOK)."

According to the article, "Motorola has already received an order from one carrier for 500,000 Motofones. The phone is 9 millimeters thick compared to the 13.9 millimeter Razr and it is the first of a new slim phone design platform known as the SCPL. The phone will also include features such as local language voice commands, aimed at helping users that cannot read, and a screen that can be viewed clearly even in the glare of sunlight."

Yankee Group analyst John Jackson thought "the Motofone would help the company but noted that even though price is a big issue in emerging markets, many users there still want phones with the latest features such as Web-surfing and cameras."

Jackson also pointed out that the "fact that the latest phone is part of a larger line-up could also help Motorola to curb its expenses." he said, "It should make Motorola more cost competitive."