
Not so boring any more
By Jo Best
Published: 4 December 2006 16:45 GMT
Developing countries are not the low-cost, low-functionality markets they are often painted as, according to Motorola's head honcho - they want sexy phones too.
Speaking today at ITU Telecom World in Hong Kong, CEO of the world's number two handset maker Ed Zander said developing economies have already caught the mobility bug.
He said: "The first fallacy is that people buy low price devices as many people in India are buying high price devices... You have to design for that market. People don't just want cheap devices. They want iconic devices too."
Motorola already has a keen interest in the under-penetrated markets. The company is working with trade body the GSMA on a sub-$30 handset and believes that phones that cost under $15 are on the way soon.
Zander added the perception that the low-cost market is dull is wrong: "It's one of the most exciting opportunities."
The Motorola boss added that the developing economies have forced new directions in handset design - including screen technology that can be read in bright sunlight and voice activated commands for illiterate users.
Zander said: "In doing all that, we get society communicating... years ago in the US we had to start somewhere. It may be painful at times, economic models may not work at times but we can do it."
Mobility is often touted by those in the industry as one way to bridge the 'digital divide' by providing internet access in countries were fixed infrastructure is not widespread.
Sanjiv Ahuja, CEO of mobile operator Orange, added that companies' interest in markets where connectivity is the exception rather than the norm is not purely down to a selfless urge among enterprises.
Ahuja said: "We are doing it not because it is altruistic but because it makes good business sense. We are doing it... [because] it's a good business opportunity for all of us."
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