Why Nokia Should Now Fear Google

Google just unveiled the brand new Moto G, which follows in the footsteps of the Moto X that was launched several months ago. The device takes the same design philosophy and looks nearly identical. Motorola is aggressively pricing the device at $179 unsubsidized and may be available for even less through third-party discount retailers.

To hit that price point, Motorola did not include LTE cellular connectivity, another clear indication that the Moto G is primarily targeting emerging markets, where LTE coverage is not as mature as in the U.S. market. This is very much an international strategy.

Nokia perhaps has the most to fear, as the Moto G will directly compete in the market segment where it has been seeing the most recent success. The Lumia 520 is off to a strong start, and the device is helping drive up Microsoft Windows Phone market share in the process. That's especially true in certain European markets -- precisely where Google is launching the Moto G. Additionally, as Microsoft is hoping to acquire Nokia's handset business, the threat to the software giant may hit even closer to home.

In this segment of Tech Teardown, Erin Kennedy discusses the details of Motorola's latest smartphone with Evan Niu, CFA, our tech and telecom bureau chief.

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The article Why Nokia Should Now Fear Google originally appeared on Fool.com.

Neither Erin Kennedy nor Evan Niu, CFA, has any position in any stocks mentioned. The Motley Fool recommends Google and owns shares of Google and Microsoft. Try any of our Foolish newsletter services free for 30 days. We Fools don't all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.

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