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iPhone: Motorola worried, Jobs to speak at Apple

updated 09:55 pm EDT, Wed June 27, 2007

Jobs to hold company intro

Motorola says that the pending launch and future success of Apple's much-anticipated iPhone may hurt its business. Ahead of the Friday retail launch and an expected private introduction by Apple CEO Steve Jobs himself at Apple's Cupertino-based company, The company has admitted that it is worried about the effect of Apple's iPhone, but says that the slow mobile data connectivity and "multitouch" interface may negatively impact consumer experiences. The company's hugely successful RAZR mobile phone has helped it become the world's second-largest mobile phone maker, but it hit a huge hurdle early this year when it posted a lost of $181 million for the first three months of 2007 -- after trying to gain market share ground from industry-leading Nokia.

Motorola is hoping that a new a generation of phones, designed to replace the aging RAZR line, may help its turnaround plan; however, its chief technology officer (CTO) told the Financial Times that she was "worried" about the effect on its own mobile handset business, but claimed that the iPhone had weaknesses and predicted it would appeal only to a "small part of the market".

"I do worry about [the iPhone] because [Apple] is a great competitor; a very respectable, credible, tough competitor to have in the industry," said told the publication.

The iPhone, however, is expected to have "severe limitations" because it will not run on AT&T's high-speed, third-generation ("3G") mobile network, but rather un on its slower "2.5G EDGE network. Several reviewers have already noted that EDGE runs at two different speeds in the US and that the slower speed is "excruciating slow."

Motorola's CTO also said that the iPhone's finger touch screen could "limit its appeal" to people who use smart phones such as Research In Motion's Blackberry and Motorola's Q, which both have tactile keyboards.

Jobs to address Cupertino employees

According to an email sent to employees, the company's CEO will address company employees at 11:00 a.m. at its "Town Hall". The meeting, which will be broadcast to other campus locations, will undoubtedly showcase the iPhone as a "gamechanger" in the industry.

"We're launching the most revolutionary and exciting product in Apple's history this Friday," the CEO wrote in an email obtained by the public. "And given Apple's legacy of breakthrough products, that's saying a lot. ... I'd like to get together and share my thoughts about this amazing moment for our company. So please join me for a company-wide communications meeting tomorrow, Thursday, at 11:00AM in Town Hall."




by MacNN Staff

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Comments

  1. robttwo

    Joined: Dec 1969

    0

    What, me worry?

    Advice to competitors: Just shut up, will ya. Every one of these doofuses who open their mouth about the iPhone are hurting their own company. "I do worry..." and then they make all these lame a** excuses about why something will "limit it's appeal." Proper response: "Yes, it looks like a great product, and it will drive our own line to even better products." All of them just come off looking like "nah na na nah."

  1. cvbcvb

    Joined: Dec 1969

    0

    Spin

    Hey Robttwo, I prefer the straight talk offered by the CTO over the spin version you presented...

    CVB

  1. coldfusion1970

    Joined: Dec 1969

    0

    come on and hurry up

    Well i only have 4 months to wait before it reaches the UK. If its not a two year plan then i may get one.

  1. nhmlco

    Joined: Dec 1969

    0

    GM and Toyota

    Maybe one should mention Ford, Chevy, GM and Toyota here. Like the big 3, Motorola rested on its laurels and let Apple change the name of the game. RAZR may have been a best-selling phone, but subsequent versions simply built ever-deeper and ever-more obtuse menu trees. The RAZR UI is (to use one word) horrendous.

    The iPhone may have weaknesses, but how about discussing those of the RAZR? Or that Motorola's idea of innovation was simply to throw every possible feature at the phone, whether it fit or worked or even made sense.

  1. jarod

    Joined: Dec 1969

    0

    Moto sucks

    I dont even know how they sold so many of those razr phones. They're buggy as h*** and look like s***.

  1. zerostar

    Joined: Dec 1969

    0

    Every possible feature?

    The original RAZR had like 12MB of spare memory, and zero expansion, no video recording and the UI was even worse then the ones now. I had to constantly flash it just to have a stable phone.

    You would think at least Apple would learn and include all the basics so maybe then the SLOOOOOWW edge wouldn't look so bad.

  1. bfalchuk

    Joined: Dec 1969

    0

    #2

    Moto has been number 2 since Nokia took the #1 spot ~10 years ago with digital. And Moto has been #1 in the US forever. Samsung challenged their #2 spot, but never fully overtook them. The RAZR was a defense, but not responsible for the #2 position.

    Also, it's a $181 loss, not a $181 lost.

  1. robttwo

    Joined: Dec 1969

    0

    spin

    Hey cvbcvb (if that is your name) - if that is "straight talk" then I'm g**. (Not that there's anything wrong with that.) When a competitor point out the flaws of a competitor, but the flaws are assumptive, unproven, or untrue - THAT is spin. If saying "this will drive our own products" is spin, then the company has serious management problems, as that is a foundation to new product development. Doofus.

  1. Elektrix

    Joined: Dec 1969

    0

    Slow....

    Seriously, I think it speaks wonders about the iPhone that the biggest knock on it so far seems to be the slow speeds of EDGE. If this is the most that competitor's can come up with as a reason the iPhone is bad, they are in trouble, as we already know 3G will eventually come to the iPhone.

    So basically, one of the big knocks on the iPhone is something that we already know is going to be resolved?

    It would be much more problematic if the iPhone had other problems that weren't so resolvable; i.e. the overall user experience sucked, battery life is terrible, multitouch doesn't work, etc.

  1. ronjamin

    Joined: Dec 1969

    0

    STARTAC

    Does anyone remember the Motorola Startac?

    It was a utilitarian phone that was virtually indestructible and looked cool.

    You don't know how often I hear associates say that they wished Motorola made a modern version of the StarTac.

    Instead they make junk like my 720, and 765. And although I like the RAZR's outside looks, the buttons SUCK. Its hard to read them.

    I just wish I had an updated StarTAC. But that all changed when the iPhone was announced. I think I might want one of those..........

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