Sales of Motorola mobile phones 'sluggish'
Motorola, which last week reported slightly improved profits, has said that demand for innovative mobile phones is slow.
The company says that it is finding demand is strongest for low-price handsets. It is not seeing a large demand for more expensive phones with colour screens and other accessories.
Nokia said last week that its handsets sales were doing well, but Motorola says its order backlog for new phones is down 6% from last year.
The declining orders appear to stem from high inventory at carriers and mobile phone retailers.
There have recently been huge marketing campaigns for the new phones. The fear is that carriers may have ordered too many phones in anticipation of increasing demand which not materialise.
Motorola also saw a very slight increase in sales of semiconductors for mobile phones. However, its sales of wireless network gear fell dramatically, as carriers cut back on purchases of items such as base stations and antennae.
