On this blog Bharat writes about business, business technology, technology business, international business & trade, current affairs, and other things that interest him. Bharat is the Founding Partner at Business Analytics Partners LLC, a management consulting firm specializing in enhancing fact-based decision-making capabilities within organizations through application of highly sophisticated modeling and analytics techniques.
Tuesday, November 10, 2009
iPhone Killer?
This CNET Review covers the design and features of the Motorola Droid running on Verizon Network. IMHO, this product is likely to threaten and even wipe out Palm rather than take on the iPhone.
1 comments:
Anonymous
said...
The Motorola Droid won't make anyone forget about the iPhone, but the new device generally has received high marks after its first weekend on sale.
Motorola Inc. (MOT) launched the Droid on Friday in an exclusive deal with Verizon Wireless, which is heavily promoting the device for the holiday shopping season. Although long lines did not form at Verizon stores, analysts say the Droid appeared to be selling well.
New York-based Verizon Communications Inc. (VZ), the No. 1 mobile operator in terms of customers, hopes the Droid will help it better compete with AT&T Inc. (T), which is the exclusive U.S. supplier of the iPhone. AT&T outgained Verizon by a net 800,000 customers in the third quarter, largely because of latest iPhone's strong sales.
"Demand seems brisk," Broadpoint AmTech analyst Mark McKechnie wrote of the Droid in a report Monday. "While we heard of no stores that were completely sold out, the majority reported that more than half of the initial stock was sold and some said they had just a few remaining."
Verizon and Motorola released the Droid this week to take advantage of the fast-approaching holiday season, when wireless-phone sales traditionally peak.
Though some may compare the low turnout to the long lines that greeted the launch of the iPhone 3G last year, analysts say Motorola does not have to draw a crowd of that size to be successful.
"Although the press is stating the Droid launch was not as successful as the iPhone launch, we don't believe investors expected an iPhone-like launch, but rather a first step in a cadence of products that will help bring Motorola's handsets out of the death spiral experienced during the past three years," wrote Jim Suva of Citigroup in a note to clients Monday.
The Droid also has the benefit of drawing the buzz of a new device. Apple Inc. (AAPL) updated its iPhone line over the summer, which is also when Palm Inc. (PALM) launched its much-anticipated Pre device.
Analyst Mark Sue of RBC Capital Markets forecasts Verizon Wireless could sell as many as 1 million units of the phone in the fourth quarter.
The Droid has a touch-screen similar to the iPhone, but it adds a slide-out keyboard and a higher quality camera. The device also has a fast processor and speedy access to the Internet via Verizon's network. Other notable features include GPS, WiFi, Bluetooth and Google Inc.'s (GOOG) easy-to-use Android software.
"It sure looks like we've captured the marketplace's imagination and the buzz is good," said Verizon spokesman Tom Pica. Yet he emphasized that Verizon is releasing a slew of new phones, including the HTC Droid Eris and BlackBerry Storm 2, in time for the holidays.
"It's more than just one phone," he said.
Independent reviewers have mostly praised the Droid--with caveats. Avi Greengart of Current Analysis praised the quality of the hardware components used in the Droid and said the latest version of Google's Android software is much improved.
Jane Zweig of The Shosteck Group said the Droid represents a welcome addition to Verizon's lineup of phones.
"My biggest complaint is that it's not as intuitive," Zweig said. "It's user friendly once you get the hang of it."
The Droid will turn out to be a success, analysts say, if it keeps Verizon customers who want an iPhone-like device from defecting to AT&T. So far the vast majority of Verizon subscribers have remained loyal because its network is widely viewed as the best in the U.S.
Verizon customers will be disappointed, however, if they think the Droid can mimic the entire iPhone experience, analysts say.
"Is the Droid an iPhone equal? In my view, no," Zweig said. "From a consumer standpoint it has a long way to go."
1 comments:
The Motorola Droid won't make anyone forget about the iPhone, but the new
device generally has received high marks after its first weekend on sale.
Motorola Inc. (MOT) launched the Droid on Friday in an exclusive deal with
Verizon Wireless, which is heavily promoting the device for the holiday
shopping season. Although long lines did not form at Verizon stores, analysts
say the Droid appeared to be selling well.
New York-based Verizon Communications Inc. (VZ), the No. 1 mobile operator in
terms of customers, hopes the Droid will help it better compete with AT&T Inc.
(T), which is the exclusive U.S. supplier of the iPhone. AT&T outgained Verizon
by a net 800,000 customers in the third quarter, largely because of latest
iPhone's strong sales.
"Demand seems brisk," Broadpoint AmTech analyst Mark McKechnie wrote of the
Droid in a report Monday. "While we heard of no stores that were completely
sold out, the majority reported that more than half of the initial stock was
sold and some said they had just a few remaining."
Verizon and Motorola released the Droid this week to take advantage of the
fast-approaching holiday season, when wireless-phone sales traditionally peak.
Though some may compare the low turnout to the long lines that greeted the
launch of the iPhone 3G last year, analysts say Motorola does not have to draw
a crowd of that size to be successful.
"Although the press is stating the Droid launch was not as successful as the
iPhone launch, we don't believe investors expected an iPhone-like launch, but
rather a first step in a cadence of products that will help bring Motorola's
handsets out of the death spiral experienced during the past three years,"
wrote Jim Suva of Citigroup in a note to clients Monday.
The Droid also has the benefit of drawing the buzz of a new device. Apple
Inc. (AAPL) updated its iPhone line over the summer, which is also when Palm
Inc. (PALM) launched its much-anticipated Pre device.
Analyst Mark Sue of RBC Capital Markets forecasts Verizon Wireless could sell
as many as 1 million units of the phone in the fourth quarter.
The Droid has a touch-screen similar to the iPhone, but it adds a slide-out
keyboard and a higher quality camera. The device also has a fast processor and
speedy access to the Internet via Verizon's network. Other notable features
include GPS, WiFi, Bluetooth and Google Inc.'s (GOOG) easy-to-use Android
software.
"It sure looks like we've captured the marketplace's imagination and the buzz
is good," said Verizon spokesman Tom Pica. Yet he emphasized that Verizon is
releasing a slew of new phones, including the HTC Droid Eris and BlackBerry
Storm 2, in time for the holidays.
"It's more than just one phone," he said.
Independent reviewers have mostly praised the Droid--with caveats. Avi
Greengart of Current Analysis praised the quality of the hardware components
used in the Droid and said the latest version of Google's Android software is
much improved.
Jane Zweig of The Shosteck Group said the Droid represents a welcome addition
to Verizon's lineup of phones.
"My biggest complaint is that it's not as intuitive," Zweig said. "It's user
friendly once you get the hang of it."
The Droid will turn out to be a success, analysts say, if it keeps Verizon
customers who want an iPhone-like device from defecting to AT&T. So far the
vast majority of Verizon subscribers have remained loyal because its network is
widely viewed as the best in the U.S.
Verizon customers will be disappointed, however, if they think the Droid can
mimic the entire iPhone experience, analysts say.
"Is the Droid an iPhone equal? In my view, no," Zweig said. "From a consumer
standpoint it has a long way to go."
-Jeffry Bartash; 415-439-6400; AskNewswires@dowjones.com
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