Motorola surprised everyone by managing to turn the Moto G into a better than expected phone considering it cost only $179 (GBP 135, EU 165). Apparently, that wasn't low enough because Motorola now has its sights set on an even lower price. CEO Dennis Woodside, in an interview with TrustedReviews, says that his company is looking to drop the price to a level that is 90 percent cheaper than what the average high-end smartphone costs today.
Woodside said:
"In much of the world $179 is a lot of money so there's a big market at a price point of less than $179. We're going to look at that and just delivering on that value promise is super important. I mean why can't these devices be $50? There's no reason that can't happen so we?re going to push that."
Woodside's comments are not a guarantee that Motorola is going to create a $50 smartphone, but it's clear that the company is out to drastically cut the cost of what it takes to deliver a usable smartphone. Component costs will obviously require that the company get very creative and make compromises on features and capabilities. It will be interesting to see how low Motorola can slash prices and still offer reasonable performance.
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