Every electronics company dreams of starting a new platform that other firms adopt and build on. It’s one of the few paths to riches in electronics (think: iPhone, Android, Blu-Ray, CDMA, Steam, Playstation). Check out extensive writing by my friend Michael Cusumano and his colleague Annabelle Gawer, such as this article in Sloan Management Review. (May be behind a paywall.) Although even if successful, the originator may have to make so many deals that it does not capture much rent. (Think: Android again, Blu-Ray again, Wi-Fi, 4G, HDTV, etc.) And doing it successfully is very hard, even for large companies.
A related dream is modularity without sacrificing performance. This has been discussed for cell phones for many years, although in the past I have been skeptical. This article, though, sounds as if Motorola has a chance at doing both. Technically, it sounds like a good concept, if they can pull it off as well as the article suggests. Of course, technical excellence is never sufficient to become a standard. And Motorola, with all its ownership turmoil in recent years, is not very credible. But I’m heartened to think that the goal of a modular smartphone may be technically realistic, which would be great for consumers. (It’s important that Moto is not talking about creating a new operating system or app platform. Just look at Nokia and Microsoft to see how hard that is.)