Can Firefox OS Challenge iOS, Android?

With Mozilla last week launching the first Firefox-powered smartphones, a new report looks at how the new Firefox OS will fare in a market dominated by iOS and Android. How can it hope to compete with the two operating systems running on 70% of the world’s smartphones at the end of last year?

The short answer is to not go head to head with the iOS-Android duopoly in the first place, according to the analysis by Wedbush Securities analyst Michael Pachter. Instead, Mozilla -- whose main product is the Firefox Web browser -- will attempt to carve out a niche by focusing on low-priced buyers, mostly in emerging markets.

In addition to the stiff competition Mozilla faces, another question is what its business model is for Firefox OS. [...]