Linked by Thom Holwerda on Wed 27th Jul 2011 22:09 UTC
Legal Two different graphs. Both happen to be published at Ars Technica, with one of them coming from a different source. Seemingly completely unrelated, but when you ponder the waterfall of recent lawsuit-related news, these two graphs suddenly tell all there is to tell. These two innocent little graphs illustrate why Apple is attacking Android so ferociously.
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rhavyn
Member since:
2005-07-06

Apple increased their share of the profits in the mobile industry from 57% last quarter to 66.3% this quarter. Only two vendors that sell Android devices are even profitable (HTC and Samsung). I understand, Thom, that you are very impressed with Androids growth (at least in the smartphone category). But how, exactly, do you see that growth continuing when all the money in the industry is being siphoned away by Apple? You understand that if it's unprofitable to make Android handsets it doesn't matter how well they sell, no one is going to, right? Additionally, you understand that if the iPhone 5 is released and Apple takes home 70% of the mobile profits in Q4, it doesn't matter if Apple only increases their market share by 1 or 2%, right?

No matter how many times people make the comparison, the mobile wars look nothing like the Mac/PC wars of the 80s. During that time Apple consistently did worse, quarter over quarter and Microsoft was massively profitable. But with mobile platforms, from a profit perspective, Android looks a lot more like Apple in the Mac/PC wars and Apple looks like Microsoft. Companies are going to need to figure out how to make money with Android, and fast, or companies like Motorola are going to start looking at Android the way Logitech is looking at GoogleTV.

Or, an alternative perspective, Android looks a lot like the business model of many internet companies in 1999. We'll give it away from free and make up for it in volume.

Now, go ahead and mod me to oblivion again since I'm now bowing to the alter of Google.

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