Motorola likely to release orders for millions of 2.5G feature phones; China makers expected to benefit most
Motorola is likely to release orders for up to several tens of millions of 2.5G feature phones to ODM makers in China and Taiwan with an aim to push its global market share to 10%, according to sources at Taiwan handset makers who attended a Motorola ODM partners meeting held in Beijing earlier this week.
The ODM partners meeting was presided over by Liu Fei, global vice president and head of ODM feature phone business unit at Motorola. Liu, former TCL Group senior vice president and CEO of TCL Communications Technology Holdings, joined Motorola in late August 2009.
Taiwan handset makers, including Motorola's current production partners Compal Communications, Foxconn International Holdings (FIH) and Chi Mei Communication Systems (CMCS), as well as Foxlink, Arima Communications and Qisda, are all expected to gear up efforts to win a piece of the 2.5G pie to be released by Motorola, the sources indicated.
However, the sources also warned that Taiwan makers are likely to be marginalized by China makers, especially TCL, who are expected to land the bulk of the 2.5G feature handset orders given Liu's long-term relationship with TCL.
Since Motorola has also revealed that it will give priority to handsets based on MediaTek chipset platforms, China handset makers could actually outbid Taiwan rivals in the grab of Motorola orders due to their relatively strong expertise in the development of MediaTek-based mobile devices, the sources added.
Arima Communications may emerge as a dark horse because it is the sole ODM maker in Taiwan that has shipped MediaTek-based handsets to the top-five branded handset vendors, the sources indicated.
The ODM partners meeting was presided over by Liu Fei, global vice president and head of ODM feature phone business unit at Motorola. Liu, former TCL Group senior vice president and CEO of TCL Communications Technology Holdings, joined Motorola in late August 2009.
Taiwan handset makers, including Motorola's current production partners Compal Communications, Foxconn International Holdings (FIH) and Chi Mei Communication Systems (CMCS), as well as Foxlink, Arima Communications and Qisda, are all expected to gear up efforts to win a piece of the 2.5G pie to be released by Motorola, the sources indicated.
However, the sources also warned that Taiwan makers are likely to be marginalized by China makers, especially TCL, who are expected to land the bulk of the 2.5G feature handset orders given Liu's long-term relationship with TCL.
Since Motorola has also revealed that it will give priority to handsets based on MediaTek chipset platforms, China handset makers could actually outbid Taiwan rivals in the grab of Motorola orders due to their relatively strong expertise in the development of MediaTek-based mobile devices, the sources added.
Arima Communications may emerge as a dark horse because it is the sole ODM maker in Taiwan that has shipped MediaTek-based handsets to the top-five branded handset vendors, the sources indicated.
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