Motorola 4Q:2007 Results

Now here is a company that's in serious trouble. The handset business is falling off a cliff with sales down 38% this quarter and guidance of a softer Q1.

Like Apple, Motorola saw a fall-off in business in December. LG and Samsung are taking significant market share with low cost, high functionality handsets. The reRAZRs just aren't cutting it. Their Q phone is getting squished like grape between the Blackberry and the iPhone.

A couple of weeks ago I was at CES and I saw the Motorola booth was mobbed. Curious, I wandered over to see why. There were people lined up to play with the RAZR retread. It surprised me. Why would people line up to play with a phone that most of them probably had at some point?

I can't explain human behavior but I do know that Motorola has a lot of brand equity. It's too bad they don't have some products to back it up.