In all probability, Motorola Inc. (MOT) will officially introduce its much-waited 3G smart-phones on Sept 10. Once a global leader in the wireless handset market, Motorola has been struggling for a foothold in the next-generation feature-rich smart-phone market for the last couple of years. The company will unveil two 3G high-end smart phones based on Google’s (GOOG) Android software. According to various industry researches, although the basic mobile phone industry is facing a downturn, the feature rich high-end smart-phones are seeing strong consumer preference.

Motorola announced that its two new 3G handsets will feature an intuitive user interface and an efficient combination of Internet access, messaging, and multi-media applications based on the Android software ecosystem. Currently, more than 6,000 multimedia and social networking applications are available based on the Android ecosystem. Motorola is trying hard to expand this platform using its proprietary MOTODEV program. Management also declared that another 30 3G high-end mobile handset models are in the offing during fiscal 2010.

Motorola thoroughly revamped its critical Mobile Device segment. During the first half of fiscal 2009, management reduced its headcount by more than 8,000. Most of this reduction took place in the Mobile Device segment. As a result, operating expenses during this period were reduced by over $1 billion year-on-year. Going forward, management revised its guidance stating that the company will reduce its operating expenses by $1.8 billion in fiscal 2009 compared to the previous fiscal. Out of $1.8 billion, the Mobile Device segment alone will save $1.4 billion of operating costs.

Recently, Motorola entered into an agreement with Blockbuster Inc. (BBI) to offer mobile video entertainment to its customers. Users will be able to watch any movie/video games or can download the same on his/her handset that are available in the Blockbuster video library. Partnership with Blockbuster will give Motorola a competitive foothold compared to Apple Inc.’s (AAPL) legendary iPhone that offers movie download facilities through Apple’s own iTunes movie store.

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