Doesn't look too good for Motorola phone sales unless they can come up with a true "iPhone killer" product (hint: it's not another variation of the RAZR.)
iPhone Changes the Telecom Game
jim woodsJim Woods (ChangeWave Alliance) submits: With the multi-function iPhone, Steve Jobs and company have introduced a product that gives their competitors heartburn.
According to ChangeWave's July consumer cell phone survey -- completed less than four weeks after the iPhone's much-ballyhooed release -- Apple's (AAPL) newest electronic device is changing the game in the telecom industry.
A total of 3,003 members of the ChangeWave Alliance participated in the survey, which points to an upheaval occurring among cell phone manufacturers and service providers alike.
Motorola Takes it on the Chin
Although iPhone sales are still in their nascent stages, the effect on cell phone manufacturers can already being seen, and no company is bearing the brunt of this more than Motorola (MOT).
While it still led all other manufacturers in current market share with 31%, Motorola dropped two percentage points from our April survey to its lowest level in more than a year.
Even though it's been on the market only a month, the Apple iPhone already registered in our survey results, garnering 1% of the current market share. But it's when we asked respondents about their planned cell phone purchases for the next six months that the full transformational impact of the iPhone was seen.
Among respondents who said they plan to buy a cell phone in the next six months, an astounding 16% said they'll purchase an iPhone -- catapulting Apple ahead of all other manufacturers.
And where are Motorola's planned purchases heading?
For the third consecutive survey, Motorola's future share of planned purchases suffered a dramatic decline, falling from a high of 33% in October 2006 to just 14% currently.
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