The smartphone game is over. The tablet game will be finished soon, within 2 years.
Android wins, iPhone loses. 75% v.s 15%, soon will become 85% v.s 5%. But that doesn’t matter much for Apple. Apple is a brand for high-end products. They don’t aim to gain all market share. To gain market share, Apple has to attack more of the low-end market, which means they have to lower their price. However, matching other supplier’s price may be harmful for Apple’s brand, although they may achieve it by more efficient supply chain and factories. To become a high-end brand, Apple spends a significant amount of money on their brand and will not scarify it for the market share.
But in this ecosystem war, the bigger ecosystem leads to a win by monopoly. When 75, 80 or 85% of the market is using Android, app developers will flock to there, and make the ecosystem become much more valuable for customer. To continue earning a lot of money, Apple has to continue what it has done best under Steve Jobs’s empire. New product, new market, new value, or new software that people are willing to purchase with high-price.
What will be the next Apple’s product? Probably Apple TV, I am not even sure about that.
And the important questions for most of us, as app developers, what should we do? Should we all move to Android yet, should we change our strategy of iOS first, Android second? Or should we start discussing about Mobile Web App?
I am writing more on the Mobile Web App v.s Mobile Native App in the next post, catch it soon.