Motorola may soon bid goodbye to Indian cellphone mkt
A few months ago, ‘Hello Moto’ was the buzz word in the Indian cellphone market, but if the latest buzz is to be believed, Motorola may be going mute. It may soon be ‘Goodbye Moto’. The turmoil in the global market is taking its toll on hand devices major Motorola.
Diminishing market share and a crippling economic downturn may be forcing US-based mobile handset maker Motorola to go slow on its India strategy.
It may soon be "Goodbye Moto" -- that's if the buzz on the street is to be believed. The turmoil in the global market is taking its toll on hand devices major Motorola. Over the last six months, Motorola has been downsizing its Indian operations. This is in addition to the layoffs in India last year, as part of its global workforce resizing exercise. The buzz is this aggressive downsizing is part of Motorola's move to exit the Indian market gradually, something the company denies.
When contacted Motorola spokesperson said, “We are not exiting operations and we are not shutting the telecom infrastructure division. India is an important geography for Motorola and the company continues to have customer partnerships and relationships across all its businesses."
“We are not exiting operations and we are not shutting the telecom infrastructure division. India is an important geography for Motorola and the Company continues to have customer partnerships and relationships across all its businesses,” the company said.
Motorola is not having an easy time in India. For starters, it's facing stiff competition from Nokia and Sony Ericsson, which together control nearly two thirds of the hand devices market. Experts say its new products are not making any dent on Nokia and Sony's market share.
Also, CNBC-TV18 has learnt that in key metros, Motorola has already moved its products off the shelves of key distributors. Distributors also say there is hardly any back-end support, in many cities.
“Motorola spokesperson said, “Motorola is aligning its Mobile Devices business in response to market conditions and so that we are focused on our top strategic priorities. In mobile devices, we are continuing to launch new products with innovative experiences for the Indian consumer.”
In response, Motorola said, “Motorola is aligning its mobile devices business in response to market conditions and so that we are focused on our top strategic priorities. In mobile devices, we are continuing to launch new products with innovative experiences for the Indian consumer."
But experts say these new products might not enjoy an adequate distribution network. CNBC-TV18 learns the Motorola-Bharti Teletech tie up for distribution of Motorola's hand devices is also being called off. While both parties are yet to respond to CNBC-TV18's queries, sources say Bharti Teletech is stuck with instruments, as part of its stock in trade and recharging Motorola's India presence may not be an easy task.
source
Diminishing market share and a crippling economic downturn may be forcing US-based mobile handset maker Motorola to go slow on its India strategy.
It may soon be "Goodbye Moto" -- that's if the buzz on the street is to be believed. The turmoil in the global market is taking its toll on hand devices major Motorola. Over the last six months, Motorola has been downsizing its Indian operations. This is in addition to the layoffs in India last year, as part of its global workforce resizing exercise. The buzz is this aggressive downsizing is part of Motorola's move to exit the Indian market gradually, something the company denies.
When contacted Motorola spokesperson said, “We are not exiting operations and we are not shutting the telecom infrastructure division. India is an important geography for Motorola and the company continues to have customer partnerships and relationships across all its businesses."
“We are not exiting operations and we are not shutting the telecom infrastructure division. India is an important geography for Motorola and the Company continues to have customer partnerships and relationships across all its businesses,” the company said.
Motorola is not having an easy time in India. For starters, it's facing stiff competition from Nokia and Sony Ericsson, which together control nearly two thirds of the hand devices market. Experts say its new products are not making any dent on Nokia and Sony's market share.
Also, CNBC-TV18 has learnt that in key metros, Motorola has already moved its products off the shelves of key distributors. Distributors also say there is hardly any back-end support, in many cities.
“Motorola spokesperson said, “Motorola is aligning its Mobile Devices business in response to market conditions and so that we are focused on our top strategic priorities. In mobile devices, we are continuing to launch new products with innovative experiences for the Indian consumer.”
In response, Motorola said, “Motorola is aligning its mobile devices business in response to market conditions and so that we are focused on our top strategic priorities. In mobile devices, we are continuing to launch new products with innovative experiences for the Indian consumer."
But experts say these new products might not enjoy an adequate distribution network. CNBC-TV18 learns the Motorola-Bharti Teletech tie up for distribution of Motorola's hand devices is also being called off. While both parties are yet to respond to CNBC-TV18's queries, sources say Bharti Teletech is stuck with instruments, as part of its stock in trade and recharging Motorola's India presence may not be an easy task.
source
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