MC1C8CLA MC8lLl1?

SLock prlce
$2343
1refls prlce
Moblle phones
2463 of sLock prlce
xoom oLher LableLs
203
ulglLal 1v 8oxes
90
8road 8and Modems
12
CASP (neL of uebL)
449
2338
ulvlSlCn
MC1C8CLA MC8lLL PCnL MA8kL1
SPA8LS
2003 06 07 08 09 10 now
26
22
18
14
10
8
6
2
2
MC1C8CLA MC8lLL PCnL 8lClnC
2003 06 07 08 09 10 now
260
240
220
200
180
160
140
120
100
80
CLC8AL MC8lLL PCnL SCLu
2003 06 07 08 09 10 now
24
22
2
18
16
14
12
1
08
06
2003 06 07 08 09 10 now
MC8lLL PCnLS C8CSS 8Cll1S
36
32
28
24
20
16
12
8
4
W WnA1Gross Marg|n represents Gross rof|t as a percentage of kevenue Gross
rof|t |s determ|ned as kevenue m|nus Cost of Goods and Serv|ces So|d
W nIS1CkICALS ICkLCAS1We have est|mated the Gross Marg|n for 1ab|ets
d|v|s|on to be around 30 |n 2011 1ref|s forecasts that the Motoro|a 1ab|et Gross
rof|t Marg|n cou|d dec||ne
W ICkLCAS1 kA1ICNALL1ref|s cons|dered the fo||ow|ng factors for |ts
forecastMotoro|a tab|ets pr|c|ng reduct|on to |ead to |ower marg|nsWe expect
Motoro|as tab|ets pr|c|ng to dec||ne wh|ch wou|d |ead to dec||n|ng
marg|nsCompet|t|on and commod|t|zat|on |n tab|et market1he tab|et market |s
at r|sk of becom|ng commod|t|zed as s|m||ar Andro|dbased dev|ces from
Motoro|a De|| Samsung and LG w||| be compet|ng on pr|ce and capab|||ty
(process|ng power speed) s|m||ar to the W|ndowsbased C bus|ness
W LkLANA1ICN CI nIS1CkICAL DA1A We est|mate Motoro|as gross marg|ns to be
around 30 wh|ch |s same as App|e |ad Add|t|ona||y dur|ng the 4 2010
earn|ngs conference ca|| the management |nd|cated that tab|ets marg|ns w||| be
|ess than that of a h|gh end smartphone
W SCUkCLSInformat|on sources |nc|ude annua| reports quarter|y f|||ngs and
quarter|y earn|ngs transcr|pts Company f|||ngs are ava||ab|e from the SLC
Motoro|a 1ab|et Gross rof|t Marg|n Ana|ys|s
W What |s be|ng offered?Mob||e hones under the brand name of
Motoro|a
W Who |s buy|ng? Ind|v|dua|s d|rect|y and]or |nd|rect|y through emp|oyer
prov|ded mob||e phonesCompet|tors App|e |hone kIMM 8|ackberry
Nok|a Samsung etc
W What buyers care aboutr|ce of mob||e phones8attery usage3G enab|ed
phonesMob||e hone des|gn and sty|e componentUser fr|end|y touchpad
and d|sp|ay screenInternet access and data transfer speeds Mob||e
phones data storage capac|tyG|oba| roam|ng fac|||ty
W Motoro|as top se|||ng po|ntCheaper Mob||e phonesLess battery
consumpt|on
W Motoro|a's weaknessSty|e factorLack of 3G product offer|ngs
W SCUkCLSInformat|on sources |nc|ude annua| reports quarter|y f|||ngs
and quarter|y earn|ngs transcr|pts Company f|||ngs are ava||ab|e from
the SLC
Mob||e hones D|v|s|on Cverv|ew
W MoLorola MoblllLy (n?SLMMl) ls wellknown for
lLs moblle phones and also recenLly enLered Lhe
LableL markeL wlLh Lhe launch of Lhe xoom LableL
1he company compeLes wlLh players llke Apple
(nASuACAAL) 8esearch ln MoLlon
(nASuAC8lMM) and nokla (n?SLnCk) ln Lhe
moblle phone markeL Powever Lhe xoom LableL
wlll plL MoLorola MoblllLy agalnsL a slew of LableL
players llke Samsung uell (nASuACuLLL) and
LC ln addlLlon Lo Apple and 8lM
Motoro|a Mob|||ty Stock |s n|gh|y Sens|t|ve to Smartphone and 1ab|et Growth
W Motoro|a Mob|||ty to report f|rstquarter resu|tsAssoc|ated ress 042611 0112 M LD1 NLW
Ckk Motoro|a Mob|||ty no|d|ngs Inc wh|ch separated from the rest of Motoro|a |n Ianuary
reports |ts f|rst quarter|y resu|ts as an |ndependent company after the stock market opens
1hursdayWnA1 1C WA1Cn ICk Motoro|a ( MC1 news peop|e )s ce||phone d|v|s|on |s a
shadow of |ts former se|f as |ts never recovered from the dec||ne |n the kazr phones popu|ar|ty
Its started to turn th|ngs around by focus|ng on smartphones runn|ng Goog|e Inc ( GCCG news
peop|e )s Andro|d software but compet|t|on |s tough In the f|rst quarter |t got even tougher as
Ver|zon ( V2 news peop|e ) W|re|ess wh|ch has been a b|g booster of Motoro|as Andro|d
phones started se|||ng the |honeArt|c|e
Contro|sLMAILkLkIN1NLWSLL11LkCCMMLN1SSnAkLAna|yst |erre Ierragu at Sanford
8ernste|n expects Motoro|a to report se|||ng 4 m||||on smartphones and 49 m||||on other phones
|n the quarter In the same quarter a year ago |t so|d 23 m||||on smartphones and 62 m||||on
other phonesAna|ysts w||| a|so be |ook|ng for the number of un|ts Motoro|a sh|pped of |ts f|rst
tab|et computer the koom Ierragu expects the number to be 200000 a far cry from the 47
m||||on |ads App|e Inc ( AAL news peop|e ) sh|pped |n the quarterMotoro|a Mob|||ty a|so
makes cab|e settop boxes wh|ch |s a stead||y prof|tab|e bus|ness w|th ||tt|e growth potent|a| 1he
rema|nder of the o|d Motoro|a now ca||ed Motoro|a So|ut|ons makes po||ce rad|os bar code
scanners and other products geared toward corporate and government customers I1 MA11LkS
Motoro|a |s an |con|c US brand much d|m|n|shed by compet|t|on from App|e and South korean
manufacturers Cnce the |argest phone manufacturer |n North Amer|ca |t now ranks beh|nd both
App|e and kesearch In Mot|on Ltd ( kIMM news peop|e ) Motoro|a Mob|||ty shares are c|ose to
the|r a||t|me |ow JPA1S LxLC1Lu AnalysLs surveyed by lacLSeL expecL MoLorola MoblllLy Lo
reporL neL lncome of 11 cenLs per share on sales of $284 bllllonLAS1 ?LA8S 8LSuL1S lf MoLorola
MoblllLy had been lndependenL lasL year lL would have posLed a loss of $211 mllllon on revenue of
$248 blllloncopytlqbt 2011 1be AssocloteJ ltess All tlqbts tesetveJ 1bls motetlol moy oot be
pobllsbeJ btooJcost tewtltteo ot teJlsttlboteJ
W MoLorola MoblllLy reporLs resulLs 1hursday and lL ls noL geLLlng a warm greeLlng from analysLs
ahead of LhaL call lL's shares are down abouL 4 Loday aL [usL under 248ernsLeln 8esearch says Lhls
mornlng LhaL lL expecLs an lnllne" reporL boosLed by some solld smarLphone news ouL of Lurope
8uL 8ernsLeln says lL ls worrled LhaL Lhe feaLure phone buslness could show slgns of weakness"
8ernsLeln expecLs small lnlLlal shlpmenL" news for Lhe xoom LableL1he x facLor? Culdance
Culdance remalns a greaL unknown for us and we expecL Lhe sLock Lo move sharply on lL" ln elLher
dlrecLlonJe recommend Lo sLay away from MMl Lhls quarLer and Lo walL for more clarlLy before
Laklng a poslLlon Je recognlze Lhe sLock ls poLenLlally aL aLLracLlve valuaLlon levels buL we remaln
worrled by Lhe lack of vlslblllLy on where Lhe company could land on a 23 year horlzon"Clobal
LqulLles 8esearch ln Callfornla has a sLarker vlew lL LlLles a reporL Lhls mornlng MoLorola
survlvablllLy rlsks have grown"1he flrm argues LhaL MMl's compeLlLlve flxaLlon on Apple and
8esearch ln MoLlon ls ouL of place" ln addlLlon lLs sLore surveys show mlnlmal plckup on xoom
and a crysLalllzlng vlew on smarLphones folks wanL an lhone or someLhlng cheap and rellable
W lnLrlgulngly Clobal LqulLles says MMl should noL Lry so hard Lo lnnovaLe ln Lhe phone space (LhaL
would be Lhe Apple/8lMM flxaLlon) buL should use lLs sLrong paLenL porLfollo Lo selecLlvely
aLLack" oLher Androlddrlven phone makers who are currenLly produclng cheaper producLs
W 1C8Cn1C Coogles Androld plaLform has losL some allure for sofLware developers sLlll smlLLen wlLh
Apple whlle 8esearch ln MoLlon and MlcrosofL have fallen furLher behlnd Lhe Lwo leaders
accordlng Lo a survey on whaL devlces new apps are llkely Lo be developed for uevelopers seem Lo
have Lempered Lhelr enLhuslasm for Lhe onslaughL of LableL compuLers belng launched Lo Lry Lo
rlval Lhe runaway success of Apples lad 8oLh Androld for LableLs and 8lMs [usLlaunched
lay8ook have faded Lhe survey released on 1uesday showed ueveloper lnLenL ls a useful
lndlcaLor of broader lnLeresL ln a plaLform as consumers are drawn Lo devlces LhaL can perform
speclflc Lasks such as checklng news or sLock prlces Lracklng how far youve run or flndlng nearby
resLauranLs Apples lhone has Lhe aLLenLlon of more Lhan 90 per cenL of developers surveyed by
research flrm luC and app plaLform AppceleraLor whlle 86 per cenL lnLend Lo develop for Lhe lad
and 83 per cenL are very lnLeresLed ln Androld phones lLs a Lough sell afLer LhaL even for
Androlds LableL sofLware aL 71 per cenL whlch has developers freLLlng abouL fragmenLaLlon and
Lhe subdued lnLeresL ln producLs such as MoLorola MoblllLys xoom acLually uslng lL lor
developers lLs becomlng problemaLlc Lo really puL a fooL down on Androld LableLs and know LhaL
youre sLandlng on Lerra flrma aL leasL as of Loday AppceleraLors ScoLL Schwarzhoff sald
MlcrosofLs Lleup wlLh nokla would llkely have Lhe blggesL lmpacL ln chaslng down Apple and
Coogle Lhe survey showed whlle 8lMs declslon Lo supporL Androld for lLs lay8ook LableL wlll
help Lhe 8lack8erry maker lnLeresL ln boLh MlcrosofLs Jlndows hone 7 and 8lack8erry for
phones fell from near 40 per cenL Lo below 30 per cenL wlLh MlcrosofLs shallower descenL puLLlng
lL sllghLly ahead 8lMs lay8ook whlch uses a new plaLform 8lM plans Lo evenLually mlgraLe Lo lLs
smarLphones dlpped Lo 20 per cenL afLer heavy promoLlon among developers had plqued lnLeresL
ln Lhe prevlous quarLers survey lay8ook was launched ln Lhe unlLed SLaLes and Canada afLer
1uesdays survey was conducLed
CAnAuA
W MoLorola buys Androld securlLy sofLware flrm 3LMlebruary
14Lh 2011 by Caurav ShuklaLeave a reply Llke 8e
Lhe flrsL of your frlends Lo llke Lhls
W MoLorola has acqulred a small developer flrm worklng on
Androld securlLy sofLware 1hls sLarLup named 3LM was
founded by exCooglers who were on Androld Leam1hls
move ls belng seen as a sLep from MoLorola Lo make lLs
Androld devlces more enLerprlse frlendly3LM has already
slgned a couple of deals Lo provlde lLs Lechnology Lo several
oLher devlce makers 1hese pacLs are llkely Lo be
announced soon3LM develops sofLware deslgned Lo make
phones runnlng Androld as secure as 8lack8errys Lo make
Lhem more vlable as enLerprlseclass smarLphones sald co
founder 1om Moss
W ,ototolo ,oblllty nolJloqs loc (N5 ,,l) toJoy ooooooceJ tbot lt bos ocpolteJ 1btee lows ,oblllty loc
(Jl,) o Jevelopet of moblle eotetptlse secotlty softwote ooJ solotloos ooJ moblle Jevlce moooqemeot ptoJocts
fot tbe AoJtolJ opetotloq system 1be oqteemeot wos completeJ lo lote 2010 ooJ tetms of tbe ttoosoctloo wete
oot JlscloseJJl,#s tecbooloqy ls JeslqoeJ to eooble tbe oJoptloo of AoJtolJ Jevlces by bosloesses ooJ
qovetomeotol eotltles 1be Jl, tecbooloqy oJJtesses eoseofose costofmoooqemeot ooJ secotlty coocetos fot
l1 moooqets ooJ cblef lofotmotloo offlcets by mokloq AoJtolJ Jevlces mote moooqeoble wltblo cotpotote
eovltoomeots Jl,#s solotloos ptovlJe AoJtolJ Jevlces wltb complemeototy fooctlooollty tbot eoobles tbe
Jevelopmeot of eotetptlse secotlty feototes ooJ oo l1 Jevlce moooqemeot setvlce fot AoJtolJ Jevlces 1be
ocpolsltloo ls expecteJ to eooble tbe commetclollzotloo of Jevlce moooqemeot setvlces lo tbe secooJ poottet of
2011lo oJJltloo to locotpototloq tbe tecbooloqy loto ,ototolo ,oblllty ptoJocts ,ototolo loteoJs to moke tbe
Jl, solotloo ovolloble to otbet booJset mooofoctotets Jl, wlll cootlooe os o bosloess oolt wltblo ,ototolo ooJ
expects to wotk wltb otbet leoJloq AoJtolJ Jevlce mooofoctotets to ptomote ooJ Jlsttlbote tbe Jl, solotloo fot
AoJtolJ lo tbe eotetptlseAlooq wltb tbelt tecbooloqy tbe Jl, teom btloqs Jeep koowleJqe ooJ expettlse lo tbe
Jevelopmeot of eotetptlse secotlty feototes ooJ softwote fot AoJtolJ solJ cbtlsty wyott cotpotote vlce pteslJeot
of softwote ooJ setvlces ptoJoct moooqemeot fot ,ototolo ,oblllty wltb Jl, we ote exclteJ to be oble to
wotk octoss tbe AoJtolJ ecosystem to occeletote tbe oJoptloo of AoJtolJ Jevlces by cotpotote osets ooJ tbelt l1
Jepottmeots we ote exclteJ to welcome Jl,#s toleoteJ petsoooel to tbe ,ototolo ,oblllty teomwe ote
exttemely pleoseJ to bove joloeJ tbe ,ototolo ,oblllty teom solJ 1om ,oss ooJ Cootov ,otbot cofoooJets of
Jl, wbo wlll cootlooe to leoJ tbe Jl, bosloess wltblo ,ototolo ,oblllty we ote exclteJ to be oble to wotk
octoss tbe AoJtolJ ecosystem to complemeot tbe AoJtolJ plotfotm wltb Jevlce moooqemeot copobllltles tbot l1
moooqets ote lookloq fot
hLLp//androldosln/2011/02/moLorolabuysandrold
securlLysofLwareflrm3lm/
hLLp//medlacenLermoLorolacom/conLenL/defaulLas
px?newsArealu2
2003 06 07 08 09 10 now
8
78
76
74
72
7
68
66
64
62
6
38
36
34
32
3
Selllng prlce lncreased by 61
PandseL shlpmenL reduced by 32
SmarL hone ShlpmenL lncreased