Barron: Three unlucky eggs in the mobile phone market

Lead: Apple and Google are now dominant in the smartphone market, according to an article published in Barron's online edition in Saturday, while the three traditional giants of Nokia, Motorola and Rim have been left behind.　　This is not just because the hardware does not meet the needs of users, but also from the weak performance in the service and content areas. The following is the full text of the article: three unlucky eggs the consumer electronics market has grown into a duopoly dominated by Apple and Google, a effect that has spread throughout the technology sector last week.　　Texas Instruments and state semiconductors last week issued an early warning of cellphone chip sales, because Nokia's dominance is being quickly eroded.　　Fitch and Standard Poole have both downgraded Nokia's debt rating and warned that while Nokia does not have a risk of defaulting on its debt, the fundamentals are clearly deteriorating as the sales pressure from Google's Android operating system is on the rise. James Faucette, an analyst at Pacific Atlas Securities, James Fossett that while Motorola Mobile also sells Android handsets, it faces risks.　　He says Motorola has struggled to reshape its past since the brilliant end of RAZR's mobile phone and has competed fiercely with Samsung and HTC.　　Fossett said that although Motorola recently launched the Droid X2 mobile phone, but the Verizon sales are gradually surpassed by HTC Thunderbolt, which provides faster network modules. The BlackBerry maker's share price fell 6% last week after Citigroup analyst Jim Sois Jim Suva recently downgraded RIM's stock rating.　　Suva downgraded RIM's rating from "buy" to "hold" and argued that Rim could not launch some important new products as expected in August. This questioning has plagued rim for a whole week, with Goldman Sachs, Oppenheimer, BofA Merrill Lynch and other securities companies cutting their target share prices.　　The big securities companies currently offer rim an average of about $40 trillion, just above its Friday closing price of $36.56. The three companies that once dominated the market are beginning to face an increasingly hostile review of Wall Street. In a sense, this is an expectation management; Rim executives, for example, stubbornly expect them to achieve a 7.50 dollar earnings per share this year.　　Analysts hope the company will be able to "leniency", acknowledging that this expectation cannot be met because they see no possibility of achieving this performance. Similarly, in Motorola's case, the highly anticipated DROID Bionic high-speed internet phone was delayed by Verizon.　　It also made HTC Thunderbolt a preemptive opportunity, and led analysts to fear further frustration with Motorola's ability to launch.　　However, in terms of status, Motorola and RIM are facing the same dilemma as Nokia. On the one hand, they have the mostThe value of the mobile field is frustrated.　　U.S. market research firm Gartner says the companies are challenged by Samsung and HTC in multiple markets, both of which sell Android handsets. According to Gartner, HTC's share of the smartphone market in the US grew from 10% in the same period last year to 19% in the first quarter, and Samsung grew from 7% to 10%. RIM's share fell from 41% to 15%, Nokia slid from 3% to 1% and Motorola slipped from 14% to 9%.　　Meanwhile, Apple's share grew from 22% to 27%.　　The US market already has two-thirds per cent of its share being preempted by Apple and Google, while other companies are falling. How a South Korean company and a Taiwanese company in China grab the two big North American industry giants in the most expensive smartphone market is an intriguing thing in itself. Part of it comes from cash.　　Samsung has 21 billion dollars in cash, and rim and Motorola are only 1.8 billion and 3 billion dollars respectively. The other part stems from the rapid introduction of new products culture.　　Analysts said Samsung and HTC would launch at least 15 to 20 new handsets this year, while Motorola and Rim rolled out one or two new products each quarter.　　If the root of the problem is the dispute between quality and quantity, then quality wins for the time being.　　Content and services but the bigger problem for Nokia, RIM and Motorola, on the other hand, is to focus on what content and services to provide for devices. Apple CEO Steve Jobs launched a cloud computing service at the Apple Global Developers Conference (WWDC) in Monday, enabling iphone, ipad, and ipod Touch users to store music, movies, documents and various types of data on Apple's remote servers,　　and can be easily converted between different devices. When Apple upgrades the operating system this fall, it will launch the icloud service, and users will then verify whether they can bring the company's claim to convenience.　　But Apple has mastered the initiative, and such services have immediately raised the bar for other companies to challenge Apple. Google is an unworthy partner: it has developed an Android operating system that offers Motorola apps, but has not brought real content. Nokia has tried to launch a similar service ecosystem for many times, but it has failed.　　It remains to be seen whether Microsoft's Xbox gaming system and the ability of Windows Live to help Nokia.　　Rim, while also trying to integrate consumer electronics with Web services, has so far not developed a product that can rival Apple. So Apple and Google's three big rivals are still in decline. The three companies ' stocks are cheap and their valuations are only flat or even lower. But in an environment where stocks are generally undervalued, investors are unlikely to care about the potential value of these stocks unless the threeCompanies have proven that they can not only develop smartphones and tablets, but also provide a wide range of services and content that inspire users. (Ding Macro)