Motorola launches lower cost Moto G, but China misses out

Shasta Darlington

CNN

SAO PAULO (CNN) — Motorola unveiled its new relatively low-cost smart phone on Wednesday, aimed at consumers in emerging markets and those on a tight budget everywhere.

But the one country noticeably missing from the rollout of Moto G was China, thanks to the unfriendly relations with Motorola’s parent company Google.

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The Moto G will cost just $179 without a contract in the United States, about a third the cost of an iPhone 5c.

Motorola launched the new device in Sao Paulo, Brazil, in a presentation beamed around the globe.

CEO Dennis Woodside said Moto G has set its sights on the whole world.

“It’s really designed to serve the half a billion in the world who next year will buy a smart phone for under $200,” he told CNN ahead of the launch.

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Many of those people are in emerging markets, like Brazil, the world’s sixth largest economy with a rising middle class and a major smart phone market.

The Moto G won’t be offered in the U.S. until January and it will eventually go on sale in about 30 countries.

In Brazil, sales began Wednesday. The phone starts at 649 reais or about $280, compared to about $600 for the cheapest new iPhone without a contract.

It’s aimed at the country’s emerging middle class — people who often don’t have computers at home.

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“Brazil is an incredibly vibrant market,” Woodside said. “People are coming on to the mobile internet for the first time.”

Industry observers at the launch said it should be a hot ticket heading into Christmas, with its price and features making it competitive.

Those features include a big, high-resolution screen, the latest Android software a long-life battery, 8 GB of internal storage and a 5 megapixel camera.

“Most people in the world can’t afford $500, $600 for a smartphone,” said Woodside during the launch. “We think the industry should provide more for the consumer dollar.”

In the U.S., Moto G is being targeted at the pre-paid market, especially students and children.

As for China, it is the world’s biggest market for low-end mobile phones, but the government blocks many of the Google services — like Gmail and Google Search — that Motorola says will make Moto G the new smart phone of choice.