Friday, June 15, 2012
Motorola launches second Android phone
The phone, called the Droid, features a larger screen than Apple Inc.’s top-selling iPhone and has higher resolution.
The phone, called the Droid, features a larger screen than Apple Inc.’s top-selling iPhone and has higher resolution, said co-chief executive Sanjay Jha. It will be available Nov. 6 on the Verizon Wireless website and in retail stores, Motorola said. The price will be US$199.99 with a two-year agreement after a US$100 mail-in rebate.
Motorola is rebuilding its mobile-phone division around the Android operating system to entice consumers who abandoned its handsets in favour of the iPhone and Research In Motion Ltd.’s BlackBerry. Motorola’s share of the phone market dropped by almost half in the second quarter from 10% a year earlier, according to Gartner Inc.
“We’ve been missing from the market,” Mr. Jha, 46, said in an interview. The Droid “absolutely does” get Motorola back into the game with a better operating system and a faster Internet browser, he said.
Based on Android 2.0, a newer version of the Google operating system, the device allows users to run multiple applications at once, features voice-driven Web searches, and has one of the “fastest Web browsers available today,” Mr. Jha said.
T-Mobile USA Inc. will begin selling the Schaumburg, Ill.-based company’s first Android phone, the Cliq, on Nov. 2 for US$199.99 with a two-year contract.
“Droid boasts impressive specs and reviews from the blog community have been very favourable thus far,” said Matt Thornton, an analyst with Avian Securities LLC in Boston. “This should give some indication as to how the device will be received by the consumer, the press and the investor community.” Thornton has a “positive” rating on the stock.
Motorola plans more Android devices. At least one of those will be sold through a third carrier, Mr. Jha said. The Droid will be available through multiple carriers outside the U.S. later this year, he said.
Mr. Jha declined to comment on how Android phones will affect earnings. The company will report third-quarter results tomorrow. Analysts predict profit of less than 1 cent a share, excluding some items, the average of estimates in a Bloomberg survey.
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