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CTIA Wireless 2009

Sprint Also Expands Consumer QWERTY Messaging with Sanyo SCP-2700

| Mar 31, 2009 | Mobile Devices | Show Update

| Analyst: Meredith Eitt

Current Perspective: Moderate/Positive
Vendor Importance: High
Market Impact: Low/Moderate

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Event Summary

March 31, 2009 -- Just ahead of CTIA, Sprint and Kyocera-Sanyo announced the upcoming arrival of the SCP-2700 by Sanyo, a stylish and easy-to-use messaging device featuring a full QWERTY keyboard with threaded text messaging, 1.3-megapixel camera, Sprint Navigation, Sprint Family Locator, Sprint Mobile Email Work, a Social Zone application, and Bluetooth. The SCP-2700 will be available May 10 exclusively from Sprint for just $29.99 with a new two-year service agreement, after a $50 mail-in rebate.


Analytical Summary

• Current Perspective: Slightly positive on Sprint and Sanyo’s announcement of the SCP-2700 QWERTY messaging device, because it is about time Sanyo joined the QWERTY crowd. Better late than never, the handset will be the carrier’s least expensive QWERTY handset once the original LG Rumors are phased out, and it will keep Sprint’s messaging selection well-rounded by offering QWERTY handsets even at entry-level price points.

• Vendor Importance: High to Kyocera-Sanyo, because Sprint is the vendor’s only postpaid distributor and the manufacturer has not launched a new platform for Sprint since summer 2008; with just five platforms available at the carrier and the imminent departure of its S1 approaching, Kyocera-Sanyo needs to supplement its offerings as much as possible. One new platform is not going to cut it, but it is a start. The announcement is of low importance to Sprint, because the carrier has a decent entry-level QWERTY selection already, but it is currently priced at or above $49 (aside from the original $29 Rumor, which is on its way out). The SCP-2700 will be the logical replacement at that price point and Sprint needs a handset priced under $30 to compete successfully with other carriers.

• Market Impact:
Low to moderate on the consumer handsets market, as there has been an enormous influx of QWERTY handsets over the past six months. While the SCP-2700 has the potential to be a big seller at its low price point, its impact is mitigated by the flood of QWERTYs already available.

 

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