Motorola has fallen on tough times. The once mighty mobile arm of the electronics company, the same division that delivered the world’s first flip mobile phone has become a bit player in the world mobile scene.

The Motorola Aura demonstrates why.

The Aura is pitched as being “high fashion” with a high price tag: $2,000. For it you get a circular screen, a clamshell design that rotates 180 degrees, and a pile of unimpressive specs.

For your $2,000 you get GSM + Edge access, so no 3G, 2GB of internal memory, and a 2mb camera. Oh, but the lens is created from Grade 1 62-carat sapphire crystal, and has a custom-engineered rotating mechanism with 130 precision ball bearings that drive the assisted-opening blade, or as Motorola describes it “like opening the door on a high-end luxury car.”

Here’s a demo video from MobileBurn taken at CES. Given most celebs and smart people are using iPhone’s or Blackberry’s, somehow we just can’t see this phone taking off.