Motorola – Four-letter words.

RAZR returns for its 3rd tour of duty.

  • The Motorola RAZR has defined Motorola’s history in mobile devices which Motorola has taken to the next level with an ultra-thin device and a folding screen.
  • The latest version is fully compliant with history in that it prioritises form factor over function and performance, but it does so in great style, completely stealing Samsung’s thunder for next year.
  • This is because I fully expect that 2020 will see Samsung launch a similar device.
  • The new RAZR conforms to all of the old design language being a very thin folding form factor with a big chin at the bottom.
  • In line with both of its predecessors, the RAZR folds closed with its characteristic and very satisfactory snap which is where most of the appeal of the device is found.
  • It also continues the four-letter word theme that saw Motorola launch variants of the RAZR called SLDR, PEBL, ROKR, KRZR & SLVR between 2004 and 2006.
  • This is a throwback to the glory days when Motorola recovered to command 20% of the handset market with excellent profitability.
  • The new device is what those of us who were around in the old days dreamed of at the time but never really thought would become reality.
  • Opening the device reveals a 6.2” OLED folding touch display rather than a small 2” screen and metallic keyboard.
  • When the device is open it is nothing special and it is here where the compromises are to be found.
  • The battery is small at 2510mAh and this has been done in order to achieve the RAZR’s characteristic thinness.
  • In order to squeeze the most life out of the battery, the device uses a mid-range Qualcomm 710 processor as well as mid-range cameras meaning that performance will be compromised.
  • This is not necessarily a problem as my own testing has revealed that for 90%+ of all usage, a mid-range processor is perfectly adequate.
  • However, for business travel where multiple LTE bands are needed or gaming, this rapidly becomes a problem.
  • Given that this compromise is being made in return for a very cool form factor, I don’t see this as being a deal-breaker.
  • However, the device will need to offer all-day battery life and I suspect that with a lot of usage of the internal screen, this is going to be an issue.
  • Furthermore, at $1,500 for the device, there are a lot of alternatives that offer blistering performance, fantastic photography, long battery life and larger screens.
  • However, the form factors are as dull as ever as they are simply slabs of black glass and this is where the RAZR has an edge.
  • Hence, the RAZR is all about the form factor as it was both 15 and 25 years ago and it is on this basis that its success will be determined.
  • It looks less fragile than either the Galaxy Fold or the Mate X but the screen is still made of plastic meaning that it will be just as scratchable as the others.
  • However, like the Galaxy Fold, the plastic screen is on the inside and given how much tactile satisfaction there is in snapping it closed, the device should spend almost all its time in handbags and pockets in the closed position.
  • The aim of the RAZR is to become a hero device that drives the recognition of the brand as volumes at this price point are going to be very low.
  • The main issue is going to be battery life and if it turns out that the device won’t last all day, users will be using four-letter words other than RAZR.

RICHARD WINDSOR

Richard is founder, owner of research company, Radio Free Mobile. He has 16 years of experience working in sell side equity research. During his 11 year tenure at Nomura Securities, he focused on the equity coverage of the Global Technology sector.