Motorola U9
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Motorola U9

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  • Anonymous
  • RA}
  • 05 Feb 2008

Sunday, January 20, 2008
What's on Motorola's agenda?

On Jan. 1, Ed Zander officially stepped down as Motorola's (MOT) chief executive, with former Chief Operating Officer Greg Brown taking the reins. According to Gartner (IT), in the third quarter of 2007, Motorola's market share in the handset sector dropped 7.6 percentage points compared with the same period in 2006, relegating the vendor to the No. 3 position, behind Nokia (NOK) and Samsung. The tech giant is clearly wobbling and the changing of the guard raises the question: What role will design play in the company's new era? Will Brown call on Motorola's designers and engineers to try to match the success of the Razr, the iconic product launched during the Zander reign?

Clues as to where Motorola may be headed in the next three to five years can be found in an internal document, the Motorola Technology Outlook (MTO), which is initially available only to senior managers in the corporate technology office and business units (it will be posted later on the company's corporate intranet for all 66,000 employees to examine). Compiled annually since 2004, the MTO features trend analysis from the company's Research Visionary Board, an external group of 47 design and technology experts based around the world, and a spectrum of staff members, who identify key trends and concepts in mobile devices, the Internet, and other areas. BusinessWeek received exclusive access to a detailed summary of this year's 20-page document, which has never before been released externally.

A jumping-off point

The MTO outlines six directions that the company may focus on while planning its new long-term projects. They're meant to be macro-ideas, rather than direct recommendations, and, indeed, this year's trends seem both obvious and abstract. They are: "the immersive Internet," meaning that consumers will be online constantly, including on their handsets; "hosted applications," or standardized software that's available on a Wi-Fi or cell-phone network rather than vendor-specific applications available only on one device; "video rerouted," or TV seen not only on TV but on other platforms; "virtually there," or posting the physical world online in real time via sensors, GPS, and RFID tags; "securing the bits," or making mobile phones safer against hackers and identity thieves; and "stimulating the spectrum," or the emergence of entirely new networks beyond the traditional cellular ones.

While some of these seem painfully simple, the report's overseer, Joe Dvorak, technology futurist in Motorola's corporate strategy office, argues that the ways in which trends are applied in research and development within Motorola is complex. And the report does also provide scenarios for theoretical products or potential usages.

For instance, the document proposes "snowflake devices"—customized gadgets, such as smartphones or handheld computers, that display content specific to a consumer's taste and which feature speech and gesture recognition for a more human "feel." Or mobile handsets with fast-loading interfaces for quicker video downloads. While mere sketches of hypothetical handset applications, these proposals do seem to indicate the beginnings of Motorola's response to Apple's (AAPL) iPhone. Certainly they suggest Motorola is looking to enhance its user interfaces and software, two areas that critics have often pinpointed as needing radical improvement.

Focusing on the user experience

"It's not a surprise that Motorola is having the problems they're having now, because software and user experience are the real differentiators," says William Clark, an analyst with market researcher Gartner. Indeed, despite initial acclaim for the superslim design of the Razr, which became a must-have accessory soon after its debut in 2004, consumer complaints about the phone's usability soon bubbled to the surface.

So did voluble criticism of the phone's user interface for texting and the audibility of calls. A prevailing conclusion? The Razr was a beautiful device housing mediocre software.

Clark observes that Motorola's phone portfolio, while often sleek and even featuring unique features such as live TV, lacks a clearly defined "Motorola experience" in terms of brand identity. In addition, he says, by offering so many different styles for so many different market segments, Motorola's brand equity has become diluted to the point of being nearly generic. "The Razr 2, for example, has no soul," he says, adding, "Motorola has become the Acme of phones," a reference to the fictional maker of everything from anvils to birdseed.

Motorola seems to be suffering a condition common to many of the old-school tech giants: how to couple their huge engineering or technological know-how with what a user really needs. "The tech part is easy [for Motorola]. The social and human parts are hard. That's the part Motorola has difficulty with, because it's an engineering company," says Don Norman, the author of numerous books on design and user experience (including The Design of Everyday Things) (BusinessWeek.com, 12/5/07), and a professor at Northwestern University, who has served on the Research Visionary Board since its inception five years ago.

Clark, meanwhile, points to the company's recently released Crystal Talk technology, featuring two microphones that distinguish between the talker's voice and surrounding noise. It's bleeding-edge tech, and a potential selling point if only Motorola executives can work out how to market it to consumers effectively. And the company has added innovative design elements that might offer a more appealing user experience than even the iPhone: For example, the forthcoming Rokr E8 (an update of the disappointing Rokr MP3 phone that syncs with iTunes) features a flat, iPhone-esque touch screen along with software that offers a sensation of touch when using the digital keypad. And it has FM radio, which the iPhone lacks.

Exchange of ideas

Another Research Visionary Board member and former Motorola employee, Andy Seybold, who heads a Santa Barbara (Calif.)-based consulting firm, the Andrew Seybold Group, believes the MTO initiative might suggest the company is at last paying attention to its consumers' experiences—and also working on its internal communication. That's also been a big problem for Motorola, which observers say has led to competing mobile products and a lack of overall brand cohesion.

"Motorola has always had a problem sharing thoughts and technology across groups," Seybold says. "It's full of fiefdoms, and in the past they didn't cross-pollinate technologies. But the [MTO] document is so full of so many different ideas, it can be seen as one way of cross-group pollination."

Motorola's Dvorak emphasizes that the company is working toward synergizing its various departments. "We have a group that looks at consumer intelligence with the goal of analyzing consumer trends [vs. technology trends] in a similar time frame of three to five years, and we are now looking to collaborate more closely," he says. And although the consumer research group doesn't publish a report similar to MTO, an exchange of ideas is occurring, Dvorak concedes, "in an ad hoc way." In other words, the synergy isn't systemized, at least for now.

Whether this year's MTO, which seems to address problems that analysts and Motorola insiders are quick to identify with Zander, will spark the design of must-have phones with a distinctive Motorola user experience is yet to be seen. New CEO Brown may decide to ditch the MTO strategy altogether—it's a relic from the previous era, after all. His challenge is to capitalize on the design and technology advances already in place while waiting.

    • ?
    • Anonymous
    • RA}
    • 05 Feb 2008

    Motorola CEO takes charge of troubled handset unit
    Mon Feb 4, 2008 12:14am EST

    NEW YORK, Feb 3 (Reuters) - Motorola Inc (MOT.N: Quote, Profile, Research) said its Chief Executive Greg Brown was taking direct control of the company's loss-making handset business, replacing Stu Reed, in a move aimed at helping speed up the unit's recovery.

    Motorola announced the decision to employees in an internal memo sent on Friday, a day after it announced that it was considering options including a split-off of its mobile unit, which has been losing market share to rivals such as Nokia (NOK1V.HE: Quote, Profile, Research) and Samsung Electronics (005930.KS: Quote, Profile, Research).

    Reed, who took over as head of the mobile phone unit last Summer, will stay at Motorola and work closely with Brown, spokeswoman Jennifer Erickson said on Sunday.

    Motorola has been criticized for a weak phone line-up and failing to come up with a strong successor to its Razr phone.

    The company also faces pressure from activist investor Carl Icahn, who has said he would nominate four directors for Motorola's board this year. Icahn said in a television interview on Friday that he wanted new management for the mobile division.

    Greg Brown took over as CEO in January, replacing Ed Zander.

    Motorola on Jan. 23 warned it may lose more market share and post an operating loss this quarter as its cellphone business is taking longer than expected to turn around.

    It also backed off its forecast for its mobile devices division to return to profitability in 2008.

    Motorola forecast a first-quarter loss per share from continuing operations of 5-7 cents, before restructuring costs. Analysts had expected a profit of 9 cents per share, according to Reuters Estimates. (Reporting by Sinead Carew; Editing by Jan Dahinten)

    © Reuters 2008 All rights reserved

      • M
      • MW V
      • 2SP
      • 05 Feb 2008

      come on MOTO ur a giant & no one can stop u.... wakeup MOTO wakeup... its not too late for u, ur d one & only leader in innovative tecno, so plz reconsider ur decision, never give up & we are there wid u

        • ?
        • Anonymous
        • M3s
        • 04 Feb 2008

        only a 6?!... desirves a 9 for design, ok i dont like the colours, but the outside desplay is spot on, touch sensitive, its loud, doesnt jump out of your hand like the u6, battery seems ok, upgradeable mem + 2mpx... and a nice menu. motorola have done something right here

          • ?
          • Anonymous
          • 436
          • 04 Feb 2008

          One more good ol' American Company going down the tubes, or bought out by the Chinese. Motorola, SHAME ON YOU!!! You are a giant, keeping the mobile phone division alive financially, means nothing to you. On the other hand, maintaining integrity of the Motorola brand as we all know Motorola to be is extremely valuable. You can absolutely bounce back into the market. Here is your opening statement when one enters motorola.com
          "We’re scientists. We’re artists. Most of all, we are a global communications leader, powered by, and driving, seamless mobility. Motorola is revolutionizing broadband, embedded systems and wireless networks – bringing cutting-edge technologies into your everyday life, with style"
          So why are you giving up? why allow another Company to use the prestigious name MOTOROLA. Paul Galvin the founder would be mighty upset at your decision. And for what? just to enhance the already FAT pockets of shareholders. MOOROLA, GET UP AND FIGHT LIKE A MAN!! I'm sure consumers will remain loyal to you and new business will prevail if you maitain the integrity of the brand. Making a merger or aquisition move like the one you're thinking would be the beginning of the end of MOTOROLA!! For example, Daimler/Chrylser, Ford/Jaguar versus BMW. Although MEGA MERGER OFFERS have been suggested, BMW remains ahead of the game because of integrity of the brand. Don't make the mistake!! Readers and motorola users support this comment, we can all make a difference.
          RMB/NYC

            • D
            • Dj martz
            • MpQ
            • 03 Feb 2008

            Well its trendy, stylish but the and the battery seem to be a little weak.otherwise its a small piece of art, big up
            Francis Martz Kampala, Uganda

              • J
              • Jinx
              • PF7
              • 02 Feb 2008

              Been reading through its specifications & reviews. It looks & sounds AWESOME! Can't wait to have this. When will this be available in Asia? Gotta have it. So HOT!

                • ?
                • Anonymous
                • uY}
                • 31 Jan 2008

                heloooww...it doesn't look like an egg!!

                  • J
                  • JON
                  • PVg
                  • 30 Jan 2008

                  no hard feeling, okay...
                  the features are great, but just stop making phones that look like an egg.

                    • B
                    • Bob
                    • 011
                    • 19 Jan 2008

                    The black one looks great but it definatley wont be top 10 for looks. It'll probably be a very popular phone since they got Fergie to advertise it... maybe in combat with Samsung and Beyonce advertising the F300. I like both of those phones but the celebs advertising them are, although popular, definately not my faves.

                      • p
                      • paty
                      • Pvp
                      • 18 Jan 2008

                      is pretty the cell phone

                        • ?
                        • Anonymous
                        • RA}
                        • 14 Jan 2008

                        =============================================
                        @seaN

                        hey what do you mean that this phone is fake its right their and u can buy it from littlewoods and o2!!!!!!!!!so please tell me wot u mean I love this phone its so cool i had the the u6 before tthosse phone are the best looking ive seen bettter then the nokia 7373 and samung u600 and lg chocolate and shine
                        ===============================================

                        Motorola Rokr U9 is real. Motorola Rokr U9 already show it in CES 2008. Don't hear or read from Motorola Haters and Motorola Jelaous.

                          • s
                          • seaN
                          • pwb
                          • 12 Jan 2008

                          hey what do you mean that this phone is fake its right their and u can buy it from littlewoods and o2!!!!!!!!!so please tell me wot u mean I love this phone its so cool i had the the u6 before tthosse phone are the best looking ive seen bettter then the nokia 7373 and samung u600 and lg chocolate and shine

                            • ?
                            • Anonymous
                            • P@Z
                            • 12 Jan 2008

                            this phone is damn HOT!!!luvv d pink one.

                              • T
                              • TyTN
                              • M3W
                              • 12 Jan 2008

                              And here's the review:

                              http://www.mobile-review.com/review/motorola-u9-en.shtml

                              Enjoy! or maybe not so much...

                                • B
                                • Bertos
                                • iGS
                                • 10 Jan 2008

                                This phone will be in Pink and purple in the UK.

                                  • m
                                  • me
                                  • Rnp
                                  • 10 Jan 2008

                                  hi guys! you know what?there're so many mistakes information bout this phne.it has 512MB (internal),4GB(external),also crystal talk etc.it also avalible in three colours at least(pink,black,green).i can say like this coz i'd experienced it b4 others.hehe btw,i've tried E8 too.it's cool.not like another music phne.

                                    • c
                                    • carlossalcedo106@hot
                                    • iBt
                                    • 05 Jan 2008

                                    hey .... whats up friends, this movil is very pink ,ugly ugly

                                      • h
                                      • hannah
                                      • v0g
                                      • 01 Jan 2008

                                      UGLY UGLY UGLY....no amount of pink can make this thing look pretty.

                                        • m
                                        • minga
                                        • Mx@
                                        • 31 Dec 2007

                                        IS this phone only in pink in the uk? the pic on here saying dark colour too. shame if its only in pinkus