About three months ago, I had predicted a sharp turnaround in fortunes of Motorola, which in my opinion is on a comeback trail. In my Random Access column in Red Herring, I wrote: “Many dealers also told us that Motorola is making a comeback with trendy phones that are in high demand. The $499 V70 swivel phone, the $399 A388 cell phone/personal digital assistant, and color-screen phones for Verizon are moving so fast that many believe “Moto” might supplant Nokia as the top handset maker. We ended up buying the Motorola cell phone/PDA and signed up with T-Mobile, betting that in two months we would be back in Ma Bell’s warm embrace.”
Well it turned out that I was vindicated – I did get a lot of hate mail, mostly from irate Moto shareholders. Well I am pleased to note that some on Wall Street are getting on board as well. Michael Walkley at RBC Capital Markets recently informed his clients of strong sales of Motorola products – the Motorola T 720 and V.60 at Verizon and the C331 at Cingular. I so desperately want to buy a T-720 but that means switching to the dreaded Verizon. “Overall, our checks indicate Motorola products gained share at Cingular, Verizon, and T-Mobile during December. Based on strong December sales, we believe Motorola gained share and may have surpassed Nokia in terms of overall North American market share during the month of December,” wrote Mr. Walkley. To that we say good job and to Motorola, welcome back to the big leagues.
And just for fun, here is a link to some of the cool devices MOTO is working on.