• Home
  • Latest
  • Fortune 500
  • Finance
  • Tech
  • Leadership
  • Lifestyle
  • Rankings
  • Multimedia

Trendingnow

1

After forcing workers back to the office, Goldman Sachs and JPMorgan Chase are now letting their staff work remotely—but only for the World Cup

2

The Pentagon said Iran War costs $29 billion, but the real cost is closer to $200 billion—and counting

3

Current price of oil as of June 23, 2026

1

After forcing workers back to the office, Goldman Sachs and JPMorgan Chase are now letting their staff work remotely—but only for the World Cup

2

The Pentagon said Iran War costs $29 billion, but the real cost is closer to $200 billion—and counting

3

Current price of oil as of June 23, 2026

Verizon: these are the Droids you’re looking for

By
JP Mangalindan
JP Mangalindan
Down Arrow Button Icon
By
JP Mangalindan
JP Mangalindan
Down Arrow Button Icon
July 15, 2010, 12:10 PM ET
Add Fortune on Google for similar content.


High-end branding helps the carrier blast away at AT&T and Sprint, but a Verizon iPhone could encase the campaign in carbonite

By Alex Konrad, contributor



New smartphones are popping up nearly every day now, as the market pioneered by Blackberry (RIMM) years ago has finally reached critical mass. That said, the most recognized and best-selling brand continues to be the Apple iPhone — antenna problems aside. Android-based phones, however, are on the rise — and Verizon’s unique branding approach has added name recognition punch to its strength.

A name from a galaxy far away

Among all the major American wireless carriers, only Verizon (VZ) has name-branded a line-up of its Android models. That name is “Droid,” a word that first appeared in the film “Star Wars” in 1977. George Lucas and his company Lucasfilm own the trademark to the term and have fiercely protected it ever since.

Verizon Wireless licensed the term for exclusive use with mobile phones in the U.S., and currently, Android-based phones using the “Droid” name in the U.S. operate under different names in other markets. Yet Lucas Licensing, Lucasfilm’s subsidiary in charge of licensing and merchandising, said that the “door is still open” for Droid’s expansion into Europe. That would be on the initiative of Vodafone Group (VOD), the UK-based company that operates Verizon Wireless in a joint venture with Manhattan-based Verizon Communications.

Lucasfilm agreed to work with Verizon because of its appreciation for the Android brand, though the company maintains it is platform neutral. In this particular case, however, “The thing that was significant to us was that they had a formidable new phone introduction that they were making,” said Howard Roffman, president of Lucas Licensing.

In the past, brand licensing in mobile phones has occurred through partnerships with brands such as Ferrari or Dolce and Gabbana. But these deals tended to be one-off and on a small scale. “[Droid’s branding] is fairly unprecedented,” said Alex Spektor, handset analyst for Strategy Analytics.

Ahead of the Android Pack

Phones based on Android, a free Linux-based operating system distributed by Google (GOOG), have proved successful. Collectively, Android OS phones outsold the iPhone OS in Q1 this year, by 28% to 21% market share. Android’s strength derives partly from its ready accessibility, with all major wireless carriers offering their own Android products — which are in turn produced by a variety of manufacturers, but notably Motorola (MOT) and HTC.

Verizon’s jumping on the Droid brand for its high-end smartphones has given it a first-mover advantage in marketing that rival carriers envy. The similarity of the word “Droid” to “Android,” its etymological source, gives Verizon a copyrightable way to brand the otherwise open-source OS that is dominating its lineup. That leaves its Android-carrying competitors in the lurch.

The Droid name has also succeeded as perhaps the best “anti-iPhone” brand in the marketplace, by combining the brand’s high-end appeal with entreaties to tech-savvy fans regarding the OS’s power and flexibility. A recent full-page ad in The New York Times, for example, poked fun at iPhone 4’s antenna interference headaches. It probably doesn’t hurt that there are plenty of “Star Wars” fans in the smartphone customer base, for whom the geeky brand name surely scratches an itch, and perhaps salves the pain of abandoning an early model iPhone.

Analysts spoke of Verizon’s proprietary “sense of ownership” of Droid as a determining factor in their long-term investment in the brand, and Verizon acknowledged that its Droid phones are “very high profile right now.”

Verizon Wireless has stressed that it maintains a cross-platform portfolio that does not depend on any one brand. A spokeswoman added that the company will sell phones that meet consumers’ needs without favoring any brand, saying the carrier is always looking to carry the best products and technology available.

Droid and the iPhone: Rivals or future friends?

Surely, the pursuit of those “best” efforts could lead to a Verizon iPhone in the near future. The media and analysts have been buzzing for some time with speculation on when Apple will end its exclusive partnership with AT&T (T). A recent Bloomberg report declared a January 2011 Verizon iPhone release, but some have speculated that Droid’s marketing disputes that possibility.

Significantly, Verizon distanced itself from anti-iPhone marketing in its comments to Fortune, perhaps creating breathing space in case it does eventually sell the iPhone and Droid side-by-side. “Our advertising is all about Droid, it’s not directed at a competitor,” the spokeswoman said. “Campaigns change all the time.”

If carefully managed, offering both brands could give Verizon a leg-up in sales without causing undue conflict. “[The smartphone market] is in a very early stage compared to the PC market. It doesn’t have to become a zero-sum game,” said Ashok Kumar, an analyst at Rodman & Renshaw.

Whether or not Droids are soon sharing display space with iPhones, they have managed to capture the public’s attention in a way few other smartphones since the iPhone have. With Android’s success accelerating, the wireless carrier that maximizes its Android offerings could enjoy the perks of being king of the Android segment of the smartphone market much the way Apple is with its iPhone.

“You could see a scenario where the Android platform takes the role that in the PC world, Windows did,” said Barclays’ James Ratcliffe. While that eventuality is speculative at best, there is no question that operating the best-known brand within the Android OS will help Verizon outdistance its smartphone carrier competitors.

About the Author
By JP Mangalindan
See full bioRight Arrow Button Icon
Add Fortune on Google for similar content.

Latest in

Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025

Most Popular

Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Fortune Secondary Logo
Rankings
  • 100 Best Companies
  • Fortune 500
  • Global 500
  • Fortune 500 Europe
  • Most Powerful Women
  • World's Most Admired Companies
  • See All Rankings
  • Lists Calendar
Sections
  • Finance
  • Fortune Crypto
  • Features
  • Leadership
  • Health
  • Commentary
  • Success
  • Retail
  • Mpw
  • Tech
  • Lifestyle
  • CEO Initiative
  • Asia
  • Politics
  • Conferences
  • Europe
  • Newsletters
  • Personal Finance
  • Environment
  • Magazine
  • Education
Customer Support
  • Frequently Asked Questions
  • Customer Service Portal
  • Privacy Policy
  • Terms Of Use
  • Single Issues For Purchase
  • International Print
Commercial Services
  • Advertising
  • Fortune Brand Studio
  • Fortune Analytics
  • Fortune Conferences
  • Business Development
  • Group Subscriptions
About Us
  • About Us
  • Press Center
  • Work At Fortune
  • Terms And Conditions
  • Site Map
  • About Us
  • Press Center
  • Work At Fortune
  • Terms And Conditions
  • Site Map
  • Facebook icon
  • Twitter icon
  • LinkedIn icon
  • Instagram icon
  • Pinterest icon

Latest in

How Home Depot is rebuilding retailing with AI
NewslettersCIO Intelligence
How Home Depot is rebuilding retailing with AI
By John KellJune 24, 2026
55 minutes ago
bob
AIbooks
Robert Wright sees an ‘earthquake’ coming from AI that goes far beyond jobs: ‘cultural, political, personal, family, psychological’
By Nick LichtenbergJune 24, 2026
1 hour ago
Mamdani’s insurgents oust two Democratic congressmen in a sweep that rattles the party
New York City
Mamdani’s insurgents oust two Democratic congressmen in a sweep that rattles the party
By The Associated Press, Steve Peoples and Anthony IzaguirreJune 24, 2026
2 hours ago
Gaza reshaped New York’s Democratic primaries. Now the party has to figure out what that means.
PoliticsNew York
Gaza reshaped New York’s Democratic primaries. Now the party has to figure out what that means.
By The Associated Press, Steve Peoples and Jake OffenhartzJune 24, 2026
2 hours ago
A team of workers sort aluminum cans near large bales of plastics
LawCalifornia
17 red states sue California over ‘onerous’ recycling law: ‘California is not entitled to pronounce nationwide policies’
By The Associated PressJune 24, 2026
2 hours ago
Mamdani’s picks sweep New York City’s congressional primaries, ousting two incumbents
PoliticsNew York
Mamdani’s picks sweep New York City’s congressional primaries, ousting two incumbents
By The Associated PressJune 24, 2026
2 hours ago

Most Popular

After forcing workers back to the office, Goldman Sachs and JPMorgan Chase are now letting their staff work remotely—but only for the World Cup
Success
After forcing workers back to the office, Goldman Sachs and JPMorgan Chase are now letting their staff work remotely—but only for the World Cup
By Orianna Rosa RoyleJune 23, 2026
1 day ago
The Pentagon said Iran War costs $29 billion, but the real cost is closer to $200 billion—and counting
Economy
The Pentagon said Iran War costs $29 billion, but the real cost is closer to $200 billion—and counting
By Jacqueline MunisJune 24, 2026
11 hours ago
Current price of oil as of June 23, 2026
Personal Finance
Current price of oil as of June 23, 2026
By Joseph HostetlerJune 23, 2026
1 day ago
Markets tumble worldwide as Fed resets expectations: $400 billion wiped off SpaceX stock
Banking
Markets tumble worldwide as Fed resets expectations: $400 billion wiped off SpaceX stock
By Jim EdwardsJune 23, 2026
1 day ago
Current price of gold as of June 23, 2026
Personal Finance
Current price of gold as of June 23, 2026
By Danny BakstJune 23, 2026
1 day ago
Texas and Charlotte used to build huge McMansions—now they're copying the California design tricks they once mocked
Real Estate
Texas and Charlotte used to build huge McMansions—now they're copying the California design tricks they once mocked
By Sydney LakeJune 22, 2026
2 days ago

© 2026 Fortune Media IP Limited. All Rights Reserved. Use of this site constitutes acceptance of our Terms of Use and Privacy Policy | CA Notice at Collection and Privacy Notice | Do Not Sell/Share My Personal Information
FORTUNE is a trademark of Fortune Media IP Limited, registered in the U.S. and other countries. FORTUNE may receive compensation for some links to products and services on this website. Offers may be subject to change without notice.