Motorola aims to have an annual turnover of U.S. $1 billion in Russia by 2010 and sees the local market on a par with India in opportunities for telecoms equipment makers.
"A billion dollars' sales is a challenge for the team to achieve in the next three to four years," Motorola President Mike Zafirovski said at a news conference in Moscow, adding that it was a reasonable, if not official, target for 2010.
With their large populations and territories, China, Russia, and India provide an emerging market to supplant flagging orders and low growth in developed markets. Out of Russia's 145 million people, only 22 percent use mobile.
"Russia is probably the most exciting place for telecommunications growth, either number one or number two," Mr. Zafirovsky said. "Most of us would argue it's between India and Russia for the most exciting place for infrastructure enhancements."
Motorola has supplied a third of the equipment for Russia's largest mobile network Mobile TeleSystems, while holding a 26-percent share of the Russian handset market in the second and third quarter.
Nokia, Motorola's biggest rival, recently launched a new line of low-cost handsets and network equipment specifically targeted at emerging markets.
Mr. Zafirovsky, however, challenged the notion that the cost of phones was critical to Russian mobile market growth, saying that Russians like advanced phones and are willing to spend an unusually high proportion of their income on them. (Reuters)
to Daily News