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Motorola CEO Ed Zander on Friday defended the company's recently announced plans to tackle the sub-$40 handset market, claiming it can build out a profitable niche. "I take issue with you that you can't make money on the low end. This gives us entree into emerging markets where [top rival Nokia is] disproportionately strong," he told investors. With more than 3 billion potential subscribers unable to afford wireless service, the second-ranked handset vendor earlier this month vowed to undercut global pricing with a new budget range. The sub-$40 phone should be on shelves by the summer as part of a program devised by the GSM Association.

* On the move: Accenture has appointed Bashi Gaetsaloe to head up a new office in Botswana.