Verizon iPhone Looks Like Bad News for Motorola: 10 Reasons WhyAug 16th, 2010 | By technologynews | Category: Technology
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The talk over Apples iPhone coming to Verizons network wont go away. More and more reports are piling up, claiming that the device will be landing on Verizons network in January. If and when that happens, the market will be a much different place. Millions more customers will have a chance to get their hands on Apples smartphone. And all the devices that currently enjoy success on Verizons network could be in trouble.
One of those devices is Motorolas Droid X. Widely regarded as the best alternative to Apples iPhone, the Droid X boasts a big, 4.3-inch display, a 1GHz processor, and some of the best entertainment functions of any smartphone on the market. Its supported by the Droid 2, another fine iPhone alternative to Motorola. For now, both devices are enjoying relative success.
But Motorolas success in the mobile market could be short-lived when Apples iPhone arrives on Verizons service. The carrier will focus its efforts on Apple, the market will buy into the hype, and all the while, the Droid X and Droid 2 could flounder on store shelves. Simply put, a Verizon iPhone would be bad news for Motorola. Heres why:
1. Verizon would go elsewhere
If the iPhone comes to Verizons network, expect the carrier to focus all of its efforts on Apple. Whereas Verizon currently helps to promote and support Motorolas smartphones, an iPhone running on its network would change all that. To some extent, the change makes sense. Apples iPhone would be the biggest release on Verizons network in years. And it would undoubtedly take the sales lead. Why wouldnt Verizon want to work hard to make the iPhone an unbridled success?
2. The hype would be overwhelming
Considering Verizon customers have been waiting for an iPhone for four generations now, the hype surrounding the device would undoubtedly drive unprecedented demand for the smartphone. That, in turn, could significantly hurt demand for Motorolas smartphones. All the customers that might have purchased a Droid X would turn to Apples smartphone instead. The hype following the Verizon iPhones announcement could single-handedly take out Motorolas smartphone efforts.
3. Its heavily invested in Verizon
Motorola has become heavily invested in Verizon. Because AT&T has the exclusive rights to the iPhone, Verizon needed to find a viable alternative for its customers. It did so with the Droid and the Droid X. And so far, Motorola has reaped the rewards of that. But by putting so many of its eggs in Verizons basket, its leaving itself wide open for problems when the iPhone comes to the new carrier. Thats not a good thing.
4. Apple would make the Droid X look bad
Make no mistake that Apple has the unique ability to make the competition look bad. When the iPhone was first launched, AT&T displayed the iPhone prominently in stores. Consumers were then able to compare, say, a BlackBerrys functionality with the iPhones. Upon doing so, they fell in love with Apples smartphone. The same will undoubtedly happen at Verizon stores. When consumers need to renew their contracts and compare a Droid X to an iPhone, they will pick the latter every time. The Droid X is great, but its not an iPhone.