Palm Treo and Motorola Razr2 most hurt by Apple iPhone price cut

As the news of the Apple iPhone price cut spread, it seems that two companies will be most hit by this and that is Palm and Motorola. The main competition for the iPhone is Palm’s Treo and Motorola’s Razr2, both of these products are struggling as Wall Street are not convinced anymore about the brands as they are dated.

When the Apple iPhone was first released Palm had said that they expected sales of their Treo to slow, but now that the iPhone has a price cut of $200, the Treo Palm will suffer even more. Motorola has said that it has put pressure on their Razr2, they said that although the iPhone is pricier than their Razr2 it caries

Some analysts said iPhone, which has only been in the market for two months, would not sell in enough volume to noticeably hurt bigger handset makers. Apple has forecast 1 million units sold by the end of September and 10 million by the end of 2008 more brand cachet with consumers.

Investors in Motorola and Palm will now want to know what their plans are for the future if they will ever want to compete with Apple and the iPhone.