RAZR proves a cut above the rest

20 Jan 2006

The US equipment manufacturer Motorola has reported an 86% jump in fourth-quarter net profit to USD1.2 billion on the back of strong demand for its RAZR mobile handset. Revenues for the period were up 18% to USD10.43 billion, slightly short of analysts’ expectations, with full-year sales growing from USD31.23 billion in 2004 to USD36.84 billion last year.

Motorola sold 44.7 million phones in the final three months of last year, up 40% over the same period in 2004, with full-year shipments reaching 146 million units. The firm says that its RAZR handset is now the biggest selling clamshell phone in the world, with the slimline model helping to increase its share of the global handset market to just over 19%. While Motorola has revealed that it is planning to continue to capitalise on the popularity of RAZR phones during 2006, some analysts have questioned this strategy, with competitors likely to launch their own versions of the ultra-thin phone.