Motorola’s troubles may stem from consumers’ demand for ultra-stylish mobile phones in part caused by Apple’s iPhone and the emergence of South Korea’s Samsung and LG to innovate and satisfy what the market wants. So it’s no wonder if Motorola might be the next Palm unless the recently approved spin-off Motorola Mobile Devices division (to be fully completed by 2009) get its act together and deliver. So whatever losses Motorola may have incurred since failing to deliver beyond its Razr way back in 2005, the lesson is clear: the global market for the ultra-competitive handset business needs cutting-edge design coupled with a culture of innovation. Maybe the OHA’s Android platform may revive Motorola’s handset business but then Samsung and LG are on the same boat also. If the PC market is any indication, we might see consolidation of handset manufacturers as mobile phones are getting commoditized, or the handset business might venture into the services and/or software market.

But in the final analysis, Apple’s iPhone changed the dynamics of the mobile market and its ecosystem.

From the looks of it, I see Apple vs Nokia vs Microsoft vs RIM vs the OHA Alliance in the ever changing landscape of the mobile business. If mobile phones don’t have that much differentiation from rival’s offerings, it’s the classic cliche you would hear again: "It’s the software, stupid."