Google Inc’s Motorola Mobility would target next the budget-conscious market segment after the launch of its flagship Moto X. This was revealed by the company’s CEO Dennis Woodside during a media interview following the official launch of the device In New York on August 1. According to him, the Moto X handset that was released that day would just be one among several other devices that would be launched under the brand.
Motorola is aiming to unveil a less expensive smartphone than Moto X. The company is currently designing and developing a cheaper device that would instantly appeal to markets in the US and in other countries where mobile customers don’t usually purchase subsidized devices and prefer going prepaid.
Moto X would be sold across the US for just $199 but that would come with a two-year subscription contract with any of the four major wireless carriers—Verizon Wireless, Sprint, AT&T, and T-Mobile. The new device would cost higher if it would be bought without any subscription contract.
In need of cheap smartphones
To date, the best and most popular smartphones are sold on retail for about $600 or higher. Most consumers complain that it is very difficult, if not impossible, to find devices that are much cheaper but at the same time don’t compromise quality.
Motorola believes that the fast-growing prepaid wireless market in the US is in need of new and lower-cost smartphones. That could be the reason why many of the company’s competitors are currently launching lower-cost or trimmed down versions of their flagship products.
Low-cost Moto X
Samsung Electronics have launched Samsung Galaxy S4 Mini as the cheaper version of its expensive Galaxy S4. Apple Inc is expected to introduce in September the low-cost version of its iPhone 5—iPhone 5C. Nokia Corp has already launched Lumia 520 and Lumia 521 to cater to budget-conscious consumers who find the high-end Lumia phones as too expensive.
Motorola has declined to make any hint about the features that it would retain in its cheaper Moto X version. But Mr. Woodside emphasized that the company is now focused on the product line. He also refused to share any timetable for the possible unveiling of the cheap smartphone but he just disclosed that it would hit the market soon or in the coming months. It is expected to be sold for less than $200, a far cry from the proposed cost of Moto X.