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How Apple Is Destroying Android From The Inside Out

onthebottom

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This should cause a troll stampede.....

OTB

How Apple Is Destroying Android From The Inside Out (and why it’s difficult to see)

You know what they say about the obvious. ‘Sometimes you can’t see the forest for the trees.’ So it is with the ongoing battles between Apple’s iOS devices and Google’s Android.

On the surface, at first view, and as promulgated ad nauseam by today’s short sighted tech pundits, Android is winning. How so? Market share. Elsewhere in the forest, almost out of sight, Apple is slowly destroying Android.

Losing While Winning

Where, exactly, is Android winning in the battle against Apple’s iOS devices, the popular iPhone and iPad? Two words: Market share. Not revenue, not profits, not customers who spend money in the forest of Apple’s ecosystem.

In fact, on every other front except one, Apple is demolishing Android, despite being outsold in unit market share.

How does Android fare against this laundry list of important measures?

Apple has managed to capture almost 80-percent of the entire cellphone industry’s profits, leaving the rest to desperate Samsung (which spends nearly 10 times Apple on advertising and promotions).

The rest of the Android nation is starving, including Google itself. Wait. Isn’t Google planning to make money with mobile advertising? That’s the company’s strong suit, right?

Nearly 70-percent of mobile ad revenue is generated by iOS devices. That’s a two-to-one lead over Android devices, despite Android having three times the market share. What’s going on?

It’s usage. It’s ecosystem. It’s quality vs. mediocrity.

It’s been pointed out that 90-percent of mobile e-commerce revenue comes from iPhone and iPad; not Android devices. That indicates that iOS users actually use their devices in a substantially different way than Android users.

Over 80-percent of mobile gaming revenue comes from iOS devices. Web usage by iOS devices is more than triple that of Android devices which triple iOS devices in total numbers. Almost 70-percent of mobile ad viewing is done on iOS devices, not on Android devices.

iOS developer revenue is estimated to be four times that of Android developers. The numbers are worse for Android in tablets, where iPad dominates with higher web usage, higher ecommerce usage, and higher tablet activations in business.

How can all of this be true while Android dominates in unit market share? Apple’s iOS devices and the Apple ecosystem dominate usage, one of the true measures of winning.

Wait. The headlines indicate otherwise, right? After all, the Wall Street Journal described a feverish hype for a non-Apple device, the Samsung Galaxy S4. The hype seems to be confined to the Wall Street Journal. A more in-depth analysis reveals that whatever hype there is about Samsung vs. Apple, Samsung’s Galaxy is being outsold by iPhone, according to Tiernan Ray.

The Double Standard

Here’s the reality. Apple is dominating Android in all the areas that matter; from usage to revenue to profit to developer revenue to ecommerce to advertising; iPhone and iPad.

What’s happening in the headlines today is no different than what Apple has experienced through the entirety of the 21st century. The Mac is dead. Windows Music Store will destroy the iPod and iTunes. Apple needs a netbook. The iPhone is a flash in the pan. The list of wrong assumptions and predictions is long, and expertly displayed by Yoni Heisler’s The Apple Double Standard in NetworkWorld.

The headlines which shout ‘Apple is doomed, Android is winning‘ are merely headlines designed to grab attention, increase page views, and pile on the successful industry leader. There’s something human about such an effort. We cheer for underdogs and tear down those that lead and rule. That model for humanity may not be sustainable, either.

The latest noise points out that Apple is doomed if it does not release a cheap iPhone. Yet, we never hear cries that Lexus or Mercedes Benz or Cadillac must have a cheap version to prosper in a competitive environment.

Let the numbers speak. According to some, Apple’s CEO Tim Cook is charisma-challenged and it’s killing Apple. How so? Where are the numbers? Apple must develop an entry-level, ‘cheap’ iPhone? Must? What are the numbers to support the conjecture?

Outside of the number of Android devices being sold (or, distributed, hopefully to be sold later; notice that only Apple releases actual sales numbers), and the number of Android device models vs. iOS devices, where, exactly is Android winning? Numbers don’t lie.

The fact is this. In every other measure Apple’s iOS device is destroying the Android empire. Other than Samsung, which appears content to copy Apple devices at the atomic level, and spend 10 times what Apple spends on advertising and promotion to achieve lower revenue and profits, all other smart phone manufacturers and industry players are losing money by the billions.

The question that tech media and stock analysts should be asking is, ‘How long before Android and Google’s partners give up the chase?‘


http://mac360.com/2013/01/how-apple...-the-inside-out-and-why-its-difficult-to-see/
 

TheDr

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Look at the site this article came from, hardly a balanced view from an unbiased source.
 

bishop

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This is absurd, Google put out Android to cock block ios from dominating the market and keep apple's hands out of it's profitable search business, toward that goal Android is a huge success. Google has never went head to head against apple on making money directly off tablets and phones, if Google was to compete in that arena it would just release all the good sh*t to Motorolla and keep all other manufacturers as second class citizens.

One can say Google is winning where it matters; in the search business, because Apple just does not play that ballgame, or you can say Apple is winning where it matters because Google is not playing in a ballgame to make money directly from Android hardware or software.

In the end most people will concede that Apple is winning because they make and have much more money than Google or Samsung.
 

onthebottom

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This is absurd, Google put out Android to cock block ios from dominating the market and keep apple's hands out of it's profitable search business, toward that goal Android is a huge success. Google has never went head to head against apple on making money directly off tablets and phones, if Google was to compete in that arena it would just release all the good sh*t to Motorolla and keep all other manufacturers as second class citizens.

One can say Google is winning where it matters; in the search business, because Apple just does not play that ballgame, or you can say Apple is winning where it matters because Google is not playing in a ballgame to make money directly from Android hardware or software.

In the end most people will concede that Apple is winning because they make and have much more money than Google or Samsung.
I agree the focus was search but isn't that just the path to mobile ad revenue?
 

bishop

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mobile ad revenue is very small but it is growing, I think the bigger threat in Google's eyes is that since ios such a large install base Apple could come up with a search engine of their own and tightly integrate it with ios, overnight apple will have a search engine with the 2nd most users.
 

danibbler

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mobile ad revenue is very small but it is growing, I think the bigger threat in Google's eyes is that since ios such a large install base Apple could come up with a search engine of their own and tightly integrate it with ios, overnight apple will have a search engine with the 2nd most users.
I was just thinking about this the other night. A search facility within iOS will cock block (to use someone else's term) Google in mobile search and even encroach into Google's desktop search monopoly.
 

onthebottom

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mobile ad revenue is very small but it is growing, I think the bigger threat in Google's eyes is that since ios such a large install base Apple could come up with a search engine of their own and tightly integrate it with ios, overnight apple will have a search engine with the 2nd most users.
Yes, I get that, but the end game isn't search (Google doesn't make any money on search) it's ad revenue.
 

onthebottom

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I was just thinking about this the other night. A search facility within iOS will cock block (to use someone else's term) Google in mobile search and even encroach into Google's desktop search monopoly.
I'd say the iPad is a bigger threat than the iPhone here.....
 

bishop

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Yes, I get that, but the end game isn't search (Google doesn't make any money on search) it's ad revenue.
I think google makes majority of it's ad money by placing ads based on keyword searches on google.com, so I just equate search with ad revenue.
 

IM469

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Jul 5, 2012
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This should cause a troll stampede.....
You mean where the undisputed King Apple Troll leads - the others will follow ?

You must be worried about your precious Apple to release a torrent of iShit articles that in which the Apple fall from smartphone dominance in both production and innovation is a cleaver ruse to take over the world. I think the decay of Apple dominance wasn't set on my mind by the 50% reduction in parts orders with suppliers, it was a young son that was bugging his mom for an iPhone 5 before Christmas now wants to give his iPhone to his mom so that he can get the Galaxy S 3.

When you start loosing the iSheep built up through extensive marketing efforts, well the clock is definitely ticking for the final sunset of the iPhone time in the sun. Good to know a few zealots will cling on in a brave fight reminiscent of the 500 spartons.
 

basketcase

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Though I understand the point of the article, how does it constituting android from the inside out?
 

NiceShoes

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Competitions like Apple vs Samsung or iOS vs Android is fuelling the mobile technology to advance. Neither Samsung or Apple can stay idle, they always have to come up with something new. iOS and Android users can debate which OS is better all they want, but at end of the day, without the competition, life will be so boring- Super hero is nothing without super villain.. ;)

I expect Samsung Galaxy 4S will rock .. it just might be the phone that Apple might need to beat .. I am still an Apple user because I love OS X and iOS. To me OS X is the best computer OS that I ever used and iOS is the most intuitive and visually pleasing mobile OS that I've used.
 

Dick Head

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my educated buds telling me there is no apple vs samsung.

It's only sammy copying big apple and then spend millions to advertise their craps and sell them with loss.
 

radio411

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my educated buds telling me there is no apple vs samsung.

It's only sammy copying big apple and then spend millions to advertise their craps and sell them with loss.
Im not sure if your educated buds have seen the news - Apple is losing revenue and market share. Technically if anyone is selling their Units at a loss is Apple. Investors are seeing this.

I am in no way supporting or demoting IPhone Vs Samsung. This is just what the markets are showing and how Handset technology is being recieved around the world.
 
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