Apple, Google, and Microsoft
Apple, Google, and Microsoft
1) Define and compare the business models and areas of strength of Apple, Google, and Microsoft.
A) Microsoft’s business model is operating systems which 95%of all computers use worldwide. The strengths for Microsoft are that they are still the leader in PC operating systems and desktop productivity software. But has failed miserably with regards towards smartphone hardware and software, mobile computing, cloud-based software apps; its internet portal
B) Apple’s business model mainly focuses on mobile devices; such as iPhones and iPads which account for 52% of apples profits. The strengths for Apple are mobile devices, such as iPhone and tablets. These devices combine and contribute 52% of apples business. They already have a head start on the mobile phone industry where they have over 250,000 applications. Apple controls 27% of the mobile market and the iPhone is the highest grossing cellphone ever.
C) Google’s business model focuses the market from the mobile, advertising and operating systems.
The strengths for Google are that they dominate in advertising with their search engine. And their Android OS controls 41% of the mobile market share. This mobile market is constantly growing 3 times faster than the iPhone market share. “They bought Android Inc. to enter the mobile market.” also bought out Motorola Inc. for 12.5 billion.
2) Why is mobile computing so important to these three firms? Evaluate the mobile platform offerings of each firm.
Mobile Computing is so important to these firms because of the fundamental paradigm shift. The environment is a $400 billion e-commerce marketplace and the applications used enrich the experience of using a mobile device.
3) What is the significance of applications and app stores, and closed vs. open app standards to the success or failure of mobile computing?
The company who creates the most appealing set of devices and applications will be able to derive a significant competitive advantage over its rivals. Apple makes money on each app sold through its App store which is worth billions of dollars to the company while the apps for the Android system used on non-Apple devices are available from different sources.
4) Which company and business model do you believe will prevail in this epic struggle?
Apple has a very loyal customer based while Google and Microsoft is clearly catching up. It very hard to identify who will prevail in this epic struggle since all three companies continue to expand, develop strategies and create new products in mobile computing. But since I am biased Apple user, I would want them to prevail.
5) What difference would it make to a business or to an individual consumer if Apple, Google, or Microsoft dominated the Internet experience?
If Apple, Google or Microsoft dominated the Internet experience, consumers would be forced to buy only one product and use only one service. The three companies would create a monopoly and the positive would be they would create a standard. This would affect quality which prices would be very high because they would have no competition. Right now it is too early to tell who would dominate the internet experience but it is very good to have competition than just one market leader the will monopolize the market.