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February 7, 2015

Motorola’s Osterloh thinks Samsung could fade away as leader in smartphone market

by John_A


The story is not an unfamiliar one – market leader stagnates in the top position while competitors continue to stay sharp and eventually the leader fades away. Two recent examples come to mind – Nokia and Blackberry. Only a decade ago, those two names ruled in the cell phone market, but today the two of them are on life support and on the verge of being consigned to the history bin. Motorola’s president Rick Osterloh thinks Samsung could be in the same position and Motorola is poised to step into the top position.

No doubt Samsung has built a large empire in the smartphone and mobile device market, easily rivaling their closest competitor Apple and blowing away other manufacturers. Despite that success, 2014 was not a good one for Samsung and many are wondering whether the company is on the precipice of a fall.

Meanwhile, after spending some time under Google’s umbrella where their operations were somewhat limited, Motorola is now a part of Lenovo and has big plans to start expanding to new markets starting this year. One of those key markets will be China where buyers expect top-performing smartphones without the premium price.

Osterloh thinks Motorola is positioned to capitalize on a potential changing of the guard:

“Every seven years, the person who’s been on top of the market has gone away. We are going through one of those fascinating shifts where people are starting to realize that you don’t need to pay $600 for a top-tier phone to get a top-tier experience.”

Under Google, Motorola started down a path where they de-emphasized specs in favor of enhancements to the user experience. While top hardware is back in the mix to some extent, as shown by Motorola plans to use a Snapdragon 810 chip in a new flagship device for 2015, the company hopes to take the smartphone to new levels that includes offering better value for buyers without sacrificing performance.

Do you think Motorola will challenge Samsung for the top spot or will that come from other upstarts like Xiaomi?

source: Forbes

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