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Motorola, Sony Ericsson Down. B&O Out.

1st November 2008

We don't normally cover financial news, but three significant events have happened recently that will impact the variety of handsets that are available to consumers in the future.

 Motorola logo Motorola

Motorola's woes are well documented, but for the last reporting quarter the handsets business lost a staggering $840m, pushing Motorola almost $400m into the red. According to MobileBurn, Motorola have said that we will no longer develop on the Symbian / UIQ platform in the future and will instead concentrate on Windows Mobile and Android for smartphones. It is also unlikely that the Mobile Division will be spun off in 2009 as previously planned.

 Sony Ericsson logo Sony Ericsson

Sony Ericsson also reported a quarterly loss, but this time a more modest $25m. One way that they intend to improve profitibality it to reduce their handset range by 20%. We agree with The Register who say that perhaps the range should be reduced to 20% of the current line-up. We definitely think that SE's range is far too large and very confusing.. after all, how many "Walkman" phones do you really need? There is a rumour that Sony Ericsson will also pull back from the Symbian / UIQ platform.

 B&O Logo Bang & Olufsen

B&O have announced that they will be pulling out of the mobile phone market, and also stopping co-branding with others. The B&O/Samsung Serene and Serenata handsets are two of the most striking phones that we have even seen, but the market for €1000 mobile phones is not so good at the moment. Unfortunately, this may well indicate that B&O technology will no longer be found in other Samsung devices. This is a shame, especially because the Serenata is really what we think the iPhone should have looked like.


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