ZANDER: We have a long-term goal of being No. 1. I’m kind of like manager of the baseball team–I like to play one game at a time.

The U.S. has penetration rates of 80 percent or more. In Latin America, they are at 30, 40, 50 percent. [But] there’s also more willingness to try new things. I was just in Latin America and every carrier we talked to was interested in music and video.

If I go to India or China–where we have opened 60 retail stores in the last couple of months–we work with the carriers to roll out some content that is pretty cool. We do more, like pushing the mobile Internet and much richer media experiences. It’s a little more freewheeling.

Motofone is about getting unconnected people connected. It’s going to break barriers on price, while still delivering a profit. You go to rural areas, you don’t have an abundance of energy to plug chargers into wall sockets. We wanted something that was energy efficient. We wanted something where you could read the display in sunlight and with voice prompts in local languages so you don’t have to have a lot of education to go through written screen prompts. There are people who don’t need videos, music and Internet on their phones.

This is a population that uses MP3 players. We are not used to getting music over cell phones. People here have to get very comfortable with the idea. We are re-aiming our strategy. At first, we teamed up with Apple and iTunes [with the Rokr phone]. Then lots of carriers wanted their own music services.

There were limitations on how many songs you could store on the phone and the connection was slow. We now have the ability to put a thousand or more songs on a phone with high-speed connectivity.

It wouldn’t surprise me if a number of consumer-technology companies start making phones. As an industry, we ship close to a billion handsets a year. A quarter of a billion PCs are sold a year, which we used to think was phenomenal. The phone is innovating at a rate that exceeds greatly the rate of the PC. The rate of innovation on the PC was tightly controlled [by Microsoft and Intel]. This paradigm has many more players.

I was stunned when I heard that study. I’m very proud of our environmental record. I don’t want to argue with these guys.

I’m not sure there’s a bubble. I don’t see the crazy business models I saw in 2000. People are trying to build real companies. I don’t think the current growth rate can sustain all these companies. But for us at Motorola, that is pretty good. It means if someone has a good idea for voice over IP [making calls on the Net], there are soon 50 companies we can choose from to buy.

Living in Chicago and traveling around the world, I get a more balanced view of what’s really important. If you plot out the next generation of where the mobile Internet is going, it’s not necessarily going to come from Silicon Valley. It was good for me to get out and understand that.