Motorola Mobility seeks to revive its once-popular Razr brand in touting its hottest gadget, the Droid Razr, as the world’s thinnest smartphone.

Motorola hopes that someday they could compete with the arch-rival Apple Inc’s iPhone when it launches Droid Razr preorders at Verizon Wireless on October 27 and can be available in store in November.

However, the device, sporting a more powerful chip than the iPhone and faster wireless Web speeds, has an asking price of $299 compared with the $199 cost for the newest iPhone 4S.

The Razr brand was hugely trendy from 2004 to 2006 but lost its appeal in 2007, which forces the company to retreat from the brand and experience a complete restructuring.

Though the Droid Razr capable of drawing in customers from iPhone at Verizon Wireless, NPD analyst Ross Rubin, believes it would not be a massive hit like Motorola’s previous Razr, selling over 130 million units over several years.

Rubin says that only about 10 percent of the US market is going to buy a $300 phone.  However, if Motorola is willing to sell it at $199 then it would be a different story.

Aside from, Samsung is another company that would contend the device with their own devices. People expected that the company will be releasing its own new device this November.

Though Avian Securities analyst Matthew Thornton got impressed with the new phone, he doubts that it would reduce the sales of iPHone, particularly as Verizon Wireless is now selling its previous year’s iPhone 4 models for $99.

When taken outside of the U.S. market, Motorola’s latest device is going to be known as Razr. The company is hoping in rekindling the allure of its original Razr, which was the slimmest flip phone on the market when it debuted in 2004.

Motorola also presented MotoActv, intermix music player, performance tracker and GPS device aimed at fitness aficionados. This device is going to start at $249 for an 8-gigabyte version and $299 for a 16 gigabyte version, a range that Rubin illustrated bed as pricey compared with rival devices.

The fitness gadget is going to be available in Best Buy and Verizon Wireless stores.

Motorola uses Google’s Android software in powering its smartphones. The Droid Razr, which sports Corning glass, will manage to download movies from Netflix Inc and comes with front-facing and back-facing cameras.

The phone got introduced first before the revelation of Apple’s iPhone 4S.  It is the latest iteration of a line-up, helping stage a recovery for Motorola following years of losses of its market shares.