Cell Phone “Status Symbol” Returns, But Can It Still Compete?
Posted May 16, 2007 12:00 pm.
This article is more than 5 years old.
It was the must have status symbol for those who wanted the latest and the greatest. And it gave its manufacturer a huge boost in profits. But when you have a successful product that’s become something of an icon in a notoriously fickle marketplace, it leads to a new problem: what do you do for an encore? When it comes to the popular Razr phone, the answer isn’t to try and beat your own record, but simply add to it.
Motorola has officially unveiled its latest version of the former ‘must have’ (top left), hoping business lightning will strike twice. The new Razr phone boasts processor speed and screen brightness ten times greater than the original, has an easier to use interface that lets it act as an MP3 player, contains circuitry to make calls sound clearer, is thinner than its predecessor, and has added two inches to its screen size, which the company claims gives it the biggest such display of any flip phone on the market.
Its makers believe this Razr will give the competition a close shave. “The Razr was a double grand slam. These are home runs,” contends Motorola CEO Ed Zander. “If you look at consumer electronics, you don’t get to create a product like the Razr every five years.”
More than 100 million Razrs have been sold since they were first introduced in 2004. This new one hits the market this summer. But the upgrade may not be as big a calling card for the electronic giant as in past years. Competitor Nokia has been slowly eroding Motorola’s market share. And next month, both firms will have to compete with what could be the biggest innovation on the market in years – Apple’s much anticipated iPhone, which gets to store shelves in June.
