Android Winning in The War Versus Apple. What the iPhone 6 Maker ?Must Do To Defeat Android.
In the battle of the smartphones, many ?observers’ note that the scorecard shows Android winning the slugfest. Apple is not taking this supposed ?defeat? sitting down and may just listen to some suggestions on how they can turn this situation into a win.
No one will say that the iPhone 6, reportedly scheduled to be released in the fall (see related reports HERE and HERE?) will not be a blockbuster device, or that Apple will not make gazillions in profit in the coming months. The expected sales of the iPhone 6 and other iDevices, however, do not erase certain reports that Apple should be concerned about.
A report by IDC (International Data Corporation (IDC)?is the premier global provider of market intelligence, advisory services, and events for the information technology, telecommunications and consumer technology markets) indicates that Apple, with their iOS devices, may be focusing too much on the upper strata of the global smart device market, which is a measly 15%, while their competitors, which utilize the Android OS, have captured the rest of the market.
If this report is true, analysts say that Apple and their investors must worry about how long can Apple survive with such a minority group of users. If software and app developers might interpret this report, as a sign, that it would be more profitable for them to focus on Android devices, and to dump the iOS / Apple platform altogether, this will have devastating effects on the functionality of Apple’s iDevices, and may spell catastrophe for them in the years to come.
If you think that this ?argument? is too incredible to be true, you may better want to take a look at the report from IDC, as well as other agencies. According to the IDC and other sources, the following data summary illustrates the situation:
- IDC Report : For 4th Quarter 2013 , Android (Google) = 78% of global market share; Apple iOS = 18%
- IDC forecast: For 2014, Android (Google) = 80.2% of global market share; Apple iOS = 14.8%
- IDC Forecast: For 2018, Android adds 404 million more units ; Apple adds 63 million more units
- IDC Forecast: For 2018, Both Apple and Android lose market share. Apple = 13.7%; Android = 77.6%. Microsoft Windows phone grabs some share of the market.
- IDC Forecast: Growth areas are in China and Asia (both Android dominated territories)
- Distimo : Revenue for mobile apps for Android has faster growth than Apple iOS
- Opera Mediaworks: Revenue from mobile ads for Android is growing faster than Apple / iOS
For those who doubt the credibility of IDC, the organization introduces themselves in their website as :
?IDC is a wholly-owned subsidiary of?International Data Group (IDG), the world’s leading technology media, events and research company. IDG?s media brands ? including CIO?, CSO?, Computerworld?, GamePro?, InfoWorld?, Macworld?, Network World?, PCWorld? and TechWorld? ? reach an audience of more than 280 million technology buyers in 97 countries. IDG?s network features 460 websites and 200 print titles spanning business technology, consumer technology, digital entertainment, and video games worldwide.? -http://www.idc.com/about/about.jsp
So what can Apple do?
For so long, Apple has held on to the strategy of ?high price with low distribution?, and this provided the opportunity for Android phones to capture the Chinese and Asian market.
There are signs that Apple is shifting their strategy, at least in these territories.
Recently, Apple held a big event in China with Telco carrier China Mobile. Apple has also offered in some ?developing’ Asian countries, the ?old? iPhone 4S as an entry-level handset.
These steps are expected to increase Apple’s growth in China / Asia, and will hopefully alter the expected trends found in the IDC report.
Some analysts feel that a stronger presence in China and Asia, is not enough and that Apple must address the issue of pricing, if it intends to stop the Android juggernaut, from dominating the global market in the coming years.
Android manufacturers continue to improve the quality of Android smartphones while driving the prices lower and lower. This is a tough scenario for Apple to compete in, unless they concede the market to Android, and be contented with making decent profits on the ?15%? of loyal Apple users.
Apple, in terms of income, still holds a very large piece of the pie, but their competitors, primarily those using Android, are eating up more and more of the market. Although Apple continues to innovate, as expected, the quality of the Android smart devices are improving fast and no one doubts that they will eventually catch up and convince Apple users to switch. Current Android users will even claim that Android tech has already surpassed Apple iOS devices, and that switching to Android is a must. (If you to know more about this and may even want to switch to Android, I suggest you read these tips on switching from the iPhone to Android , Here and Here?.?)
Image Source: Facebook