Wednesday, March 26, 2008
Motorola is splitting in two....
Well, it looks like Motorola has decided to push it's recently unprofitable cell phone branch of the company out of the main company into a separate company. It seems Motorola hasn't been able to create a hit in the cell phone market since the Razor phones. Even that phone only looked cool, but had problems, in my opinion. Some of the reasons for their problems was increased competition, including Apple's new iPhone. Motorola probably looked at all of the innovation in the iPhone and figured that this phone was so far ahead of the competition that it may be too late to even try to catch the technologies in this phone.
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2 comments:
I think that's the problem with a lot of upper level management these days. One can't compete in a place like the cell phone market without some innovation! You can't just site there and ride on the coattails of the RAZR, and then put out a half assed effort like the ROKR, and expect to be competitive! It's sad, but in this case par for the course. I've always wanted Motorola to do well, but their inability to keep up the process that produced the RAZR shows they are not ready for this market.
Maybe this breakup is the way to go in the cell phone market. A smaller nimbler company without the corporate baggage might be able to compete better. Apple may start having the large company problem soon too, if they keep expanding their line of products. It all depends on if the big company doesn't force all decisions through the corporation food chain. Which may be hard since Jobs is such a control freak. So far he has been juggling a lot of new products successfully.
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