Comment Perspective? (Score 2) 344
This article seems(somewhat bizarrely) to be written from the perspective of Google, Inc. but purporting to be talking about "android" and its prospects.
There is certainly a place for analysis of "So, did this 'android' stuff pay off for Google? Was it roughly break-even? A strategic failure?"; but that's quite different than "How is Android doing? What are its prospects?". Conflating the two, though, is confused at best and outright nonsense at worst(especially when examining the 'running Android, possibly even developing it in some way; but not running "Android+Google Play Services"' slice of the market'.
So, is Apple the one actually making money on smartphones? Hell yeah. Has Android been tepid in terms of actually making Google any money? At best; it may well be directly losing money and only appearing to pull its weight as a strategic play. Are the margins for most Android handset manufacturers pretty unexciting compared to Apple? Also hell yeah. However(much like the PC OEMs), that may not actually affect Android: None of the Android OEMs gets the option of joining Apple in making iPhones(except the ones that happen to also have divisions that manufacture components for Apple, like Samsung). Apple has zero interest in letting them do that. So, they can either ship Android handsets with Google, ship AOSP+their own or somebody else's stuff; ship Windows Phone, attempt to build their own OS entirely, or leave the market. Shipping Android handsets with Google isn't a terribly high-margin strategy; but it is so far unclear whether any of the other options are any higher margin.
It is very likely that Google isn't getting nearly as much of what they want from Android as they would like; and Android OEMs certainly aren't earning terribly exciting margins on their devices; but that's their problem. It only becomes Android's problem if Google decides to pull the plug, or if OEMs abandon it in favor of WP or one of the assorted linux-with-stuff-on-top-but-not-android options. So far, WP has gotten fairly good reviews; but struggled for marketshare, and the not-Android Linux derivatives are all writhing around near the noise floor. This isn't obviously a good thing, Android is a pile of mediocrity in quite a few respects, even if some of Google's applications and services for it are pretty good; but it is still the case: Since nobody gets to be an iOS vendor except Apple, and Nokia is MS' special buddy, with other OEMs allowed but sharing a very small pond; 'Android' is a fight over some pretty unexciting margins; but unless a company simply wishes to stop manufacturing smartphones and tablets, it's a fight they'll probably remain in for some time to come.
Sure, I'd love the second coming of WebOS to sweep away the unbelievers and deliver us; but that doesn't appear to be in the cards.
There is certainly a place for analysis of "So, did this 'android' stuff pay off for Google? Was it roughly break-even? A strategic failure?"; but that's quite different than "How is Android doing? What are its prospects?". Conflating the two, though, is confused at best and outright nonsense at worst(especially when examining the 'running Android, possibly even developing it in some way; but not running "Android+Google Play Services"' slice of the market'.
So, is Apple the one actually making money on smartphones? Hell yeah. Has Android been tepid in terms of actually making Google any money? At best; it may well be directly losing money and only appearing to pull its weight as a strategic play. Are the margins for most Android handset manufacturers pretty unexciting compared to Apple? Also hell yeah. However(much like the PC OEMs), that may not actually affect Android: None of the Android OEMs gets the option of joining Apple in making iPhones(except the ones that happen to also have divisions that manufacture components for Apple, like Samsung). Apple has zero interest in letting them do that. So, they can either ship Android handsets with Google, ship AOSP+their own or somebody else's stuff; ship Windows Phone, attempt to build their own OS entirely, or leave the market. Shipping Android handsets with Google isn't a terribly high-margin strategy; but it is so far unclear whether any of the other options are any higher margin.
It is very likely that Google isn't getting nearly as much of what they want from Android as they would like; and Android OEMs certainly aren't earning terribly exciting margins on their devices; but that's their problem. It only becomes Android's problem if Google decides to pull the plug, or if OEMs abandon it in favor of WP or one of the assorted linux-with-stuff-on-top-but-not-android options. So far, WP has gotten fairly good reviews; but struggled for marketshare, and the not-Android Linux derivatives are all writhing around near the noise floor. This isn't obviously a good thing, Android is a pile of mediocrity in quite a few respects, even if some of Google's applications and services for it are pretty good; but it is still the case: Since nobody gets to be an iOS vendor except Apple, and Nokia is MS' special buddy, with other OEMs allowed but sharing a very small pond; 'Android' is a fight over some pretty unexciting margins; but unless a company simply wishes to stop manufacturing smartphones and tablets, it's a fight they'll probably remain in for some time to come.
Sure, I'd love the second coming of WebOS to sweep away the unbelievers and deliver us; but that doesn't appear to be in the cards.