George S. May Business Blog

Android Takes Bite out of Apple’s Market

By now if you haven’t yet heard of Apple’s iPhone, then likely you’re not the type of person who would be getting information from the web in the first place. The iPhone has made an incredible impact into the foray of smartphones since the device’s introduction amidst fanfare that would have been fit for a Roman Emperor.

The meteoric rise of the iPhone was only slightly less astounding that the billion dollar app business that sprang up as a result of the device’s launch, allowing consumers specialized miniature applications that allow an iPhone to tune a guitar, find your bank’s nearest ATM, and of course, the latest in audio flatulence recreation technology.

The eminence of Apple’s device is precisely why many were skeptical when Google said it was making an entry into the same market that Apple had been dominating in terms of market share, to say nothing of the device’s indelible impact across several key markets. While initially buoyed by a younger, more tech-savvy group of Apple fanatics, the iPhone has since gone on to supplant the Blackberry as the fastest growing device, even though Blackberry is still sitting pretty as the largest smart phone subscriber base.

Google wasn’t deterred by Apple’s enormous impact on the market, in fact Google went gunning straight for the iPhone before the product even launched. Google’s Android is their answer to the iPhone, and indeed it was marketed exactly as such. Advertisements would list off a litany of features which the iPhone did not have, and then went on to show that what the iPhone didn’t do, the Google Android would.

And while it may not have been the most obvious choice for the software developer, Google was able to make a big splash for itself as well, and allure a following that is now outpacing the iPhone in expansion of market share.

A report on Tuesday was released, and it shows Android registering the largest market share gains of the U.S.’s five leading smartphone operating systems.Over the past three months, Google’s share of the U.S. smartphone market grew to 7.1% from 2.8% — a 154% increase.

Apple’s share, by contrast, grew only 1.2% — albeit from a base nearly 10 times larger. And since the whole U.S. smartphone market grew 18% between Oct. 9 and Jan. 10, iPhone sales were hardly standing still. Still it’s showed that Apple can be challenged for device dominance.

Apple was long thought to be invincible since the incredible dominance of the iPod over all other media players. Companies learned the hard way that Apple was a tough competitor who offers unique technology that is relatively affordable, and marketed brilliantly.

However Google has shown itself to be no slouch when it comes to observing the market and keenly making sure to differentiate their product from Apple’s. There are many users who reject Apple’ ethos and design philosophy and would be interested in any device that stood as competition to the iPhone.

However, the Android is no niche device, and while the battle for smartphone supremacy is far from over, it now has a few more competitors fighting for the title.

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