Android Sales Overtake iPhone in the U.S.

285 Comments

Sales of Google Android (s goog) phones in the U.S. are rising so quickly, the devices have outsold Apple (s aapl) handsets for the first time on record. New smartphone subscribers choosing Google phones accounted for 27 percent of U.S. smartphone sales, the Nielsen Company will announce this morning, nudging past the 23 percent share held by Apple. But Android isn’t just a U.S. phenomenon: Canalys today estimates that Android handset sales grew 886 percent worldwide from the year ago quarter.

It’s easier to show stellar growth in the beginning of  a product cycle, but Android is nearly two years old. One could make the valid argument that Android really began to mature over the past year with Android 2.1, so from that standpoint, Google’s platform is still an infant when compared to iOS4, BlackBerry (s rimm) and other mobile operating systems. But the uptake of Android among handset-makers is another factor in such growth. Motorola’s Mobile Device division (s mot) has swung from losses to profits on the back of Android, for example. And HTC — once primarily a Windows Mobile phone maker — embraced Android even as Microsoft’s (s msft) mobile platform is undergoing a major facelift. The result? HTC revenues were up 66 percent in June from a year ago.

As hot a seller as Google Android phones are right now, its user base isn’t the most satisfied with their device. When surveying current Android device owners, Nielson found that 71 percent would buy an Android phone again. That sounds like a high loyalty rating, but it falls noticeably short when asking iPhone owners about their next handset — 89 percent are happy with iOS4 and plan to buy a future Apple handset.

Both the Android and iOS4 platforms still trail the 33 percent U.S. share held by Research in Motion’s BlackBerry devices, but for many, BlackBerry needs an overhaul. One half of the current BlackBerry owners surveyed don’t want another RIM device when it comes time to upgrade, but instead are looking at replacements running either Google’s or Apple’s mobile platform. Even with the top market share spot in the U.S., RIM share has been trending down because the current devices are seen as inferior when it comes to browsing or offering apps. That should change tomorrow as RIM is holding a press event where it is widely expected the company will debut its new BlackBerry 6 operating system and potentially new devices, such as a tablet.

Given that the U.S. currently has the largest smartphone user base — Canalys estimates 14.7 million smartphones were purchased in the U.S. last quarter — it’s easy to overlook the current king of smartphone sales globally: Nokia (s nok). In the second quarter of 2010, the Finnish phone-maker sold 23.8 million handsets. Nokia saw a 41 percent growth rate over the prior year’s second quarter sales, which sounds positive, but when compared to Android’s 886 percent gain, Nokia’s growth pales in comparison. The overall smartphone market is growing, which is lifting sales of nearly all. But some — like Android — are clearly growing far faster than others.

Related GigaOM Pro Research (sub req’d):

Why RIMs Future (Unfortunately) Hinges on BlackBerry OS 6

285 Comments

winstuff

I wonder how many “googlators” are ex-windows junkies who just can’t accept failure in face of Apple’s decade of success vs. msft’s decade of doing nothing. That’s got to hurt.

Get ready for Google’s flop as well. ‘Cuz search is going elsewhere and the ad revenues that Google uses to wreck honest competition will go with it. Do no evil. Really?

@RJWTImes on Twitter

Looks like the greedy grabbing Google is doing well. Hope Windows kicks ass.

Greg

Apple and… Androids?

Apple is carried on one carrier.

Android(s) are carried on how many carriers??

It seems to me its not a fair or accurate comparison of sales.

JT

That just means you’re not very good at math or statistics.

Which in turn means you probably own an iphone.

We’re talking operating systems. Not phone models. iOS vs Android. Period. Will you fanboys quit trying to make this about specific models? There are plenty of other places on the internet where you can congratulate each other for being trend-following idiots who bought the same fashion accessory.

This place isn’t one of them. We’re comparing operating systems. The “iphone” is not an operating system. The legend on the sales graph is very clear about what they are measuring.

Did you read the legend?

Can you read the legend?

Benn McNally

Perfect Mate! I couldnt have said it better myself. Great reply :)

Baffled

Wow. I am baffled and amazed at the number of people vehemently defending and bowing to their Corporate Masters. When did we give up our identity to corporations to the extent that we will defend them with all our might?

Sorry to pick on you Ted T but your comments stand out quite a bit. Things like “no one will actually pay full price for an Android device, when they could get an iOS device instead.” Childish, egotistical, gotta be right BS. I paid full price for an Adroid phone a week ago and I’d do it again before I’d take an “iOS” device on subsidy or free. Why? Because I like it better. It works the way I want it to. I bought my wife a Mac for her desktop and a Mac for her Laptop. Why? because it is better for her than Windows. Every other desktop/laptop/server in my house runs Linux because I like it better than Windows or Mac for my use. If you like your iPhone better than my Galaxy S great. More power to you. But it’s not any better, just different. Your’s does what you need, and mine does what I need. Your elitist “they can’t afford the best” attitude is more likely drive people away from your beloved device than result in them embracing it. I don’t know why anyone would love it just because it is Apple, Google, Microsoft etc. It’s just silly to be that entrenched with a corporate entity that only sees you as number on their profit line.

I see others defending Android in a similar vain. I hope Apple and Google keep up this p*ssing match. That’s just more options for me.

Let the flaming begin… sigh…

sxeptomaniac

No flaming here. I’m loving the heated competition… not so much the fanatics on either side, though they can be quite funny at times. Personally, I’m a Linux user all the way, from my laptop and desktop to my Android phone, but there are advantages and disadvantages to every platform, and personal preference plays a large part in each person’s decision.

While I dislike Apple’s decisions regarding the strong control they have over their devices, it’s hardly evil. In the same way, I’m not turning a blind eye to Google’s tendency to accumulate large amounts of personal data, though I choose to tolerate it at this time.

The battle for market dominance between Android and iOS is a good thing for the consumer.

Fractolier

Not having the time to read through all of the posts, I would hope someone has made the point that the true comparison being made is between “open” and “closed” devices. The migration to Android devices clearly shows that the average US consumer wants to be in charge of what is on his/her phone and how that phone can be used.

Joseph Futral

Actually, I’d say it just shows the pent up demand from years (decades?) of dissatisfaction with what the handset makers/carriers were dishing out. Up until the iPhone and Google’s Android, most every thing out there pretty much blew chunks. Rim and Nokia weren’t winning because they were great, but because they sucked less.

I remember back when I thought I could check my email on a Razr. Apple lead the way, Google is picking up the rest. Good luck Rim, Nokia, and HP. Is Windows even a consideration anymore?

Joe

sxeptomaniac

That would be your interpretation of the statistics, but not one actually supported. These statistics only show the choice, not why it’s being made. The rest is speculation.

Currently, the best extrapolation regarding “open” and “closed” devices is that open devices can be competitive on the market. It can not be determined from the above whether or not Android’s “open” nature contributed to that success.

Sxeptomaniac

The robust competition is a very good thing, I think. I’m an Android user myself, and I’m glad to see it has become a competitive platform, but I wouldn’t want it to become the sole dominant one, either. The competition between platforms has improved all of them, driving innovation. Would Apple have ever implemented multi-tasking if they hadn’t felt Android coming up fast, or would other devices have ever implemented multi-touch capacitive interfaces the way they currently exist if Apple hadn’t led the way? I doubt it.

I’d love to see platform ownership hovhttp://s1.wp.com/wp-content/themes/vip/gigaom/img/submit.png?m=1258368451ger somewhere close to current levels for a while, with ups and downs depending on which companies make better moves.

Sxeptomaniac

I am, and I know others who enjoy their Android phones tremendously, and others who want one. Notice Android loyalty is pretty high in the graphs; while it’s not as high as with the iPhone, it’s nothing to sneeze at. I won’t knock the iPhone, but it’s just not what I want.

SEO

The most successful mobile phone will offer features, user-interface and subscription rates that the customer wants. Not what the phone manifactures want to force on it’s customers to insure their investors high profits.

Nick D

Wow no retweet / tweetmeme button?

did google pay you for having buzz instead of tweetmeme?

upshot – I wont be re-tweeting this.

Rob

Selling 2 devices for the price of one is simply not sustainable regardless of which camp you sit in.
Look at the netbook market… those things are sold with next to no margin with WIN OS thrown in [basically a subsidy to selling the device]… Manufacturers write-off the expenses hoping for future revenue… When you look at their balance sheets it’s obvious.

sxeptomaniac

Yes, but with 71% platform loyalty, it probably will pay off in the long run. Netbooks occupy a smaller and smaller niche these days, as increasingly capable smartphones and the iPad and future pad devices could crowd them out altogether. There was always the question whether netbooks were anything more than a fad, and we may have our answer.

Mike Abundo

Android is open-source software while the iPhone is a proprietary hardware-software bundle. Obviously, open-source software can spread more easily than proprietary hardware-software bundles.

Whip It

Ahhhh, like the blazing success linux has had over the past decade!!!

Daniel

Yeah Firefox, Google Chrome, Apache, Hadoop, Ubuntu, WordPress, ECMA Script, HTML spec, Android…the list of open source failures it just too long to mention huh Whip It! (obviously joking)

And Mike Abundo has a great point, Linux is dominant on the server side. But I’m sure iOS will have it’s place in the Computer History Museum in Mountain View as “that device Steve Jobs almost got us all to give up openness and choice for”

Joseph Futral

“Yup, 40% server market share. Also, Android is Linux-based. :)”

Right. “Open source” means something to the server market. It means nothing to the consumer smart phone market. Android being “open” has no meaning. Even saying it is Linux based has no meaning.

It only means something to handset makers who have not been able to create any kind of desirable OS for their phones on their own. That is until they realize (IF they realize) running Android really provides them no added value from other phones running Android.

It really is the hardware-only companies who will lose, not Apple, Not Google, probably not RIM if they can get their act together and focus, probably not HP if they can get webOS doing something worthwhile. Nokia has the most to lose. They thought Symbian was the end all be all and are suffering from the Lotus/Word Perfect syndrome.

This is not a server market discussion.

Joe

Bob

US is going to be less and less important as time passes by and China becomes more and more important. China already generates 50 percent of US smartphone sales and where is Apple in China ? nowhere ha ha. by 2015 china will be generating thrice the volume of US smartphone and Apple is nowhere in China, close to zero. As a consumer I give a rats ass to how much money Apple makes per phone, as a consumer I am more than happy that android is giving such a huge competition to Apple ha ha. This will ensure that nobody is in control and this is when consumers win.

And for those who keep talking about profit margins, the phone market is huge, it is 1.3 billion per year, as of today only 300 million are smartphones and the more dumpphones will shift to smartphones over coming years. And android is placed perfectly to capture most of this, as almost all of them will prefer a cheaper smartphone to the latest expensive smartphones.

And guess what guys hardware is a commodity and Apple gets most of its revenues from hardware even now(95 percent). Itunes hardly makes a profit. So Apple will have to continue to maintain their premium brand and they will never be able to go into massmarket or transition into a software+services company. But android has no such limitations, they will attack iOS at all price points and google is perfectly positioned. In fact Google is perfectly happy making 10 billion dollars per year from android in the future based on software+services, whereas Apple can never be happy with that small money(they already make 70 billion dollars per year). They will have to keep coming up with magical and revolutionary devices every year just to maintain their revenues and profits.

BD4000

Dear Mr Bob you don’t give a rats arse about how much money Apple makes but you give a rats arse about the performance of some open source OS. We all know that the people who say they don’t give a dame are the ones who care too much to explain why. Here you are making this long post and you expect us to believe you don’t care. GET OUT OF HERE!

Your China example is based on a faulty premise that the Smartphone makers in China are making any money or that they have a better consumer experience as you put it. The reality is very different from what you want to portray. Right now the Chinese Smartphone market is flooded with cheap imitations of any phone you can think of. Even the ones that are not imitations like G-Tide are crappy low life span phones. The reason for this is simple; right now Apple shouldn’t even be bothered about having a presence in China because it’s a low income market which consumes entry level phones. To really understand why this counts for nothing just ask Nokia who have been selling phones in developing countries forever. Even with Nokia’s huge market share Apple still makes twice as much profit as they do selling a single handset.

The truth of the matter is this as soon as incomes start rising in these countries it doesn’t take a rocket scientist to figure out which phone people will be demanding. Just go to Taiwan and check-out the phone that most rich Taiwanese have, these guys are paying up to $1000 just to get an iPhone and that’s the rock solid business philosophy of Apple; don’t brother with poor markets there is no money to be made there.

You might not care about how much money they make but companies are not in business to do favours.

Right now am in South Africa and the most popular brand is Nokia but just look at the phone that the rich have and the phone that the not so well off aspire for.

The problem with you is that you care too much and it hurts you so much that Apple is doing well that you don’t even stop to do the maths. If anything the proliferation of Android based devices does nothing more than take anyway the market power that Android adopting manufacturers had. The fewer the OSes out there the more the decision becomes a question of choosing between two dominate OSes Android or iOS.

JT

Not everyone is as easily persuaded by hype and commercials as you are. Do not expect rises in income to translate to iphone sales. iphones sold at walmart for 99 bucks, and were supplemented by a massive ad campaign on fox news, the only group of people in the USA who are more delusional and susceptible to hype than apple fanboys.

Refusing to acknowledge the moral problems that come with supporting apple is your own folly, but some of us actually care. Forcing downloads through a single point? Subjective rules on ‘appropriate’ content, which filters out some programs, but leaves the SI swimsuit issue? Subjectively retreating on the anti-flash ‘no code compiled from elsewhere’ clause, but only for ‘authorized persons’? pumping money into newscorp for a shot at their bottom-of-the-barrel viewers?

If you have any decency at all as a person, these things should anger you. I understand that apple people care more about apple’s stock prices than any moral issue, and i find that sad, but android is here to provide a guilt free option.

A lot of people will never, ever switch to iphone because Apple regularly engages in dirty practices and treats developers like shit. If your only interest is money, then apple’s behaviors are right in line with your goals. Some of us, however, hold ourselves to higher standards than yourself.

BD4000

@JT

Dude am rolling on the floor in stitches! You are funny like that.

Firstly, I would like to say I don’t have an iPhone. In fact the reason why I don’t have one is because when gen 1 was released I knew that it would get better with each incarnation. Now that the 4 has finally addressed a lot of the things that made me pass the last 3 offerings I would be lying if I said I wasn’t strongly considering getting one. Unlike most of you I am not perturbed by how Apple makes its money because I am not forced to buy Apple products which I clearly did not do over the past three years. I am a happy Nokia E90 user although I feel I now need an upgrade. Unlike you I will give the Driod X, the EVO and yes the iPhone 4 a fair trial.

Secondly, I never said I hate programmers I just said I have found it to be true that programmers generally have a poor understand of what business is all about. To many a programmer that I have come across legitimate business tactics that are employed to maintain a company’s market dominance seem to vex this lot. Most devalue the need to satisfy investors the people who hand out their cash to fund the R&D that makes things better. We do not live in a costless world innovations cost and they cost big time.

I know that your line of argument was based on the faulty premise that I was arguing against Android. But if you go back to all my posts I started off by calling the Android vs. iPhone comparison a scam. I know that your line of argument is that it’s a comparison between Android based smartphones vs. an iOS Smartphone; a line of reasoning that I disagree with because no matter how you argue for it the fact still remains that it’s a misleading head line and to the uninitiated it means what it is says.

Also unlike you and probably because of my training as an economist I celebrate business success in all its shape and size. What is refreshing about Android is that it has managed to revive companies like Motorola and HTC. But I also choose to exercise my ability to think and analysis, so I am also concerned that though you fandriods are rejoicing about Androids success it goes without saying that MS is going to take the fall and not Apple as many of you have been arguing. This is why I am convinced that most of you see Android [an OS] as some iPhone killer which it is not because we all know that by reducing the market power conferred on other phone makers by having different OSes Android reduces the competition to a fewer OS contest which from an economic point of view implies that only two OSes are going to be sharing the spoils.

Furthermore, I also give myself the right to see things as there are that Apple contrary to what you say, is not just hype because according to the many Apple product users that I know they are happy about the build quality of Apple products and the utility that they derive from them. And that this is the same utility that Android, BB, symbian users derive from their choices. I am however opposed to the kind of propaganda and hence the Nazi references that people like you have been spreading; a one sided view of the world that talks about an illusionary evil in a world where people volunteer they hard earned cash on the things that bring them joy. A one sided perspective that absolves companies like Google that have, like I said in another post, created billionaires and will continue to do so with each ad click on an Android based Smartphone. Arguments that fail to realise that without Google’s super-profits you wouldn’t be programming for Android and that there is absolutely nothing wrong with Google and Apple making money based on their own unique strategies. If Apple’s strategy irks you then don’t program for iPhone.

You see Mr JT mine is a bigger and more accepting perspective about people and the choices they make.

So to you Mr JT I say I hope that one day you will understand how in a very ironic way cooperates like Apple are actually beneficial to the US. Remember one of the reasons why most developed nations have experienced growth rates that are lower than those in the East is because most western countries no longer have engines of growth like the Samsungs and the LGs. Never forget that technological leadership can never happen without huge super-profits. Whereas these Korean giants have grown on the back drop of massive government support, in the US companies like Apple that are keeping the country on the technological frontier are constantly being accused of being evil greedy companies. I know you will disagree with the feature that appeared in the Economist back in 2008 that said Apple was the most innovative company in the world; the truth of the matter is that along with other companies like Google they are holding it down for the US by being at the center of most of the tech innovation in the past decade. Yes most tech-heads look at Apple products like the MacBook Air and say it’s a piece of “executive bling” what you failure to realize is that from a country competitiveness point of view just the know-how of making the thinnest laptop in the world confers and keeps the US on the technological boundary. To understand the importance of this go to Europe and look at their recent policies on R&D and to understand what the loss of technical know-how can do look at the history of the former Soviet states. The only reason why Russia flies civilians to space is because they don’t have the money which NASA gets from taxing companies like Apple. The practices that Apple engages in that frustrate people like you are consistent with basic text book descriptions of how super profits can be maintained. So they is nothing out of the ordinary there.

Anyway dude seriously this is my last post I really enjoyed this but unlike you am not paid to do this [BD4000 pokes JT and grins from ear to ear]. I have better things to do like write a monograph on how the global economic crisis has impacted on the world’s poor and what governments can do to mitigate the anticipated lag in the recovery of socio-economic indicators.

Sayonara JT sen!!!!

JT

Why keep restating something that I’ve already told you is false? I’m not a paid shill for anything, and I’ve already corrected you once on that. I shouldn’t have to do it a second time. Base your discussions in facts if you wish to be taken seriously.

And seeing as you’ve decided to exit the discussion, while also refusing to comment on my my very clearly noted instances of Apple creating a uniform set of rules, supposedly applied to everyone, and then giving exceptions for the companies with the money, shows that you really don’t care about the moral issues at all.

As such, I’m pretty sure we will never see eye to eye on this. I’m not an economist. I care about more than money. You can gloss over Apple’s actions, but a lot of people can’t be bought off as easily as you can.

BD4000

@JT
Dude what on earth are you talking about. U have no argument, that’s why you are rumbling about “moral problems that come with supporting apple” what nonsense is this. Whenever I see people like you I always get very wary, dude it’s like you have made it your responsibility to reply to everyone who is saying what you don’t like. There is JT every way on this page.

Like Kevin you are definitely on someone’s pay-roll so don’t come here and drop this garbage about the moral problems of supporting Apple. On top of this you are a communist. This is a free world and if Apple fanboys want to go and buy what makes them sleep at night why should it bother you.

Its people like you who are really sad; you think you have it all figured out to the point where you oblige yourself to think on behalf of others. How long is it going to take you to realize that you are fighting a losing battle. This is exactly what the Nazis did. Take your anger and bury your head in the sand.

How dare you insult the very fabric upon which the US is build on? It is through capitalism that the US is able to enjoy one of the highest standards of living in the world and have one of the best social protection systems.
“Some of us, however, hold ourselves to higher standards than yourself.” Again you demonstrate the fact that you are being paid to say the crap that you are saying and two you absolutely have no idea how the world works. What’s funny is that even Karl Marx recognised that socialism can only come after full transformative capitalism that has the power to generate the excesses (Apple profits) that create the high per capita income. I know that at your level of reasoning you might not be able to connect the dots but just take a look at what’s happening in China. A few years back I spoke to a Chinese economist who said the world rumbles about growing income inequality in China but what they don’t realize is that before this rapid growth every Chinese person was equally poor.

Profits are a sign of economic progress; go to school and get an education.

JT

Let’s see, implying an opposing viewpoint must be paid for in order to discredit it, red-scare style ‘communist’ comment, referring to smartphone sales as a ‘battle’, and Nazi references too. And then for the grand finale, implying that someone who disagrees with you needs to ‘go to school’.

Bad news, cap’n crunk. I went to school, did my thing, and now I’m a programmer. Which is why I use Android. I have more than enough money to buy an iphone many times over, but I also have a conscience, which prevents my from doing so.

I am not a paid shill. Trying to claim that the only way someone could have an opposing viewpoint is by being paid is quite possibly the most egocentric and unintelligent thing I’ve seen in this entire thread. Are you a member of the Tea Party by any chance? You both seem to have a thing for self-serving lies…

This isn’t a battle. It’s just a case of good and evil. And you are on the side of evil.

Maybe if you toss out a few more Nazi claims you can lend even more credibility to your “informed commentary”. lulz.

BD4000

@JT

Hah aha ha ahhah! It’s called sarcasm you moron! I knew you wouldn’t get it and worse still you are a programmer that’s why you think profits are bad. I am an economist and I understand that the prosperity that allows you to “have more than enough money to buy an iphone many times over” is based on the very thing that you call evil. That you are a programmer also explains why you didn’t understand the communist references. I guess like Marx you call Apple the blood sucking capitalist.

Please don’t try and act like you understood what I was saying. The only loser here is you who believes that without the profit incentive you will be sitting there writing your little programs. Let’s see how classless societies like Cuba have fared.

I know you still won’t get it you ignorant little nerd.

Like the Nazi you patrol this blog vehemently trying to convince everyone that you are right and they are evil. You contradict yourself by saying this is not a battle and then nor sooner have you said that you go on to say it’s about good and evil implying that they are two antagonistic sides to this. You are a self-righteous little tart, who can’t even see the error of his ways because you are bent on destroying some illusionary evil force. As a little nerd I guess you get his good and evil dichotomy from your comic books. So who are you; the capped crusader who is going to save the world from Apple? You make me laugh you pathetic little man. LMAO!!!!!!

If you didn’t get it the first time I’ll say it again, “GO TO SCHOOL AND GET AN EDUCATION.”

LOL….

JT

Hahah ok, you’re an economist. It all makes sense now. I wouldn’t expect you to understand morals or ethics.

Also, lol @ the nerd comments. A shining example of american anti-intellectualism here, and a classic example of the mentality of the typical iphone user.

It’s nice to know you share the same attitude towards programmers that Apple does. Keep it up, and see how long the iphone lasts without any of the programmers you seem to have such an issue with.

Damn nerds, making applications for your phones? Unheard of!

Tedly

I have had iPhones from day 1, but given the absolutely horrible service from AT&T in the downtown area of the major city I live in, suspect that I will be migrating to an HTC machine in the near future. AT&T has all but ruined the iPhone experience for me. And I’m pretty close to being a hardcore Apple fanboy.

Daniel

Gee the article said Apple loyalty was nearly 20% higher, I’m not surprised knowing how completely illogical and fanatical the followers of the cult of Apple are. You could tell folks that data was FREE on another phone and they still wouldn’t bat an eye at paying AT&NoService’s outrageous fees for horrible coverage.

Two reasons Android will ultimately make Applesauce out of One Infinite Loop:

It’s open source OS (Steve is doing a great Jobs of pissing off his developer base by acting like Darth Vader)
Google is a better software company, period.

Rob

Well seeing that google did copy Apple’s innovation and initiatives is understandable… Schmidt knows it.. which is why he was kicked out of the Apple board.

Grawlix

Now, now, GigaOM. You’re giving away your bias here. I find it very interesting that you failed to point out two things in this story:

1) That the second graph above shows averaged growth over the past 6 months – during which everyone knew a new iPhone was coming and also during which that new iPhone was only available for 1 of those 6 months.

2) On the Neilsen page you copied your graphs from (here: http://bit.ly/cNpjMu), there was a third graph, which you didn’t include, showing iPhone holding a 28% to 13% lead in US market share of all subscriber. http://bit.ly/cNpjMu

Shame on you,
[email protected]/!x

Bob

only fanbois have time to wait for IPhone 4, rest of the people are busy getting on with their lives ha ha

chillout

Did they happen to mention that Android isn’t a single company but a coalition of competing celly makers? I didn’t think so.
Android is a free mobil OS on cheap a**, off the shelf hardware that is iterated by Moto, LG etc to every carrier and sold to a bunch of techies that change their Android phone every other month while ebaying their last Android phone just to keep up with their geek lust for new sh**. Whew! No wonder they are selling so much. The game they play is liquid and in the end all that Android glut on the used market will destroy future sells of new stuff.
Apple’s business model of one phone per year is nothing less than genius! Self preservation never felt so good.

kenzy

That cheap ass hardware you talk of is also in the iPhones. That retina screen?…is actually from LG. There is Samsung tech inside your Iphone as well…not to mention about 15 other tech companies that provide the hardware to Apple as well as all other phone manufacturers.

So please cut back on your Apple koolaid.

lrd

1 Billion Android phones equal negative revenues for Google

10 million iPhones equal $6 Billion for Apple

Mmmmmmmm……? Who do want to be?

JT

It depends, is money the most important thing you can think of in life?

BD4000

@JT

Here you go again Mr JT. Dude I seriously don’t get why you are doing this. How can you say, “It depends, is money the most important thing you can think of in life?” Lord have mercy, Android is being developed by a company that has created two of the youngest billionaires in less than 12 years. Both Sergey Brin and Lawrence Page are in the top 50 richest people in the world and you say is money the most important thing in life. Dude please! JT you seem to forget that the only reason why Google can support Android for free is because of money. Without the kind of cash that Google has Android would have never seen the light of day. And this supports the point I made in response to one of your posts, that profit creates economic progress. If you are so pro-open source how come we don’t hear you preaching about how we should all ditch Windows for Linux.

Why does everyone think that Google, the second biggest tech company in the world AFTER APPLE, is doing this out of its benevolence? Wake Mr JT Google like Apple has its eye on the bottom-line which is profit. How many Google products are shipping with each Android handset? The reason why Google is dishing out Android is simple, both Mr Page and Mr Brin understand that the future is mobile. The more Smartphones/slates the less time people will spend in front of a PC this means people will be doing their clicking on the go and since Google is paid by the click why not move in before someone else takes away their bread and butter.

Google is not doing this because they love you. Google is being motivated by self preservation and I say good for them let them make their money they deserve it. So why can’t people let Apple do the same. I say good for Apple for coming up with a combination of product design and marketing that have turned them into a cult. I know that if I was in business I would kill to have the consumer loyalty that Apple has. Why should I go around trying to tell people who are exercising their freedom to choose what they want that they are wrong. Surely this argument applies to the non-Apple choices that, for example, fandroids make. The hypocrisy.

You all need to grow-up!

JT

I asked a simple question, is money the most important thing? I wanted to know your answer, because there isn’t really any point discussing anything with someone whose morals can be purchased if the price is high enough.

I am more interested in an open environment, not a walled garden. I don’t give a shit about Apple’s stock prices. They’ve pulled too many dirty moves to trust them. I’m sure you disagree, but I’ve listed them elsewhere in this thread, no one wants to bite though.

Everyone wants to defend apple, but no one wants to take on the individual points. Is it right that they create a policy to be applied to everyone in the app store, then openly violate that by giving preferential treatment to sports illustrated? Is that the right way to do things? You can’t use code that was compiled from another language, but we’ll make exceptions, as long as we’re not actively trying to shit on your company?

And I’m not preaching about dropping windows because, frankly, this isn’t a windows discussion. I have just as many gripes with MS as I do with Apple, but the difference is the windows people know those problems are there, and don’t try to pretend they don’t. windows users know their shit breaks. Apple people seem actively dishonest about every facet of the company, which is annoying as hell.

Especially when the ‘boycott fox news’ campaign rolled around. The 180 degree spins pulled by Apple owners once they found out Apple was on the list was hilarious. You could watch in the span of 10 minutes as people pretending to have conviction and dignity immediately gave up once they found out their favorite tech company was on the list. Turns out personal integrity has a pretty low price tag on it, when people are willing to abandon it just like that.

Daniel

Actually, many people here are way off on their picture of incentives. Let me explain:

Google makes an innovative phone OS that is open source, free to use by manufactures and constantly being perfected through the iteration of scores of handset makers, why would they do this?

Well, as it turns out, over 40% (and growing) searches on the web have local intent at the basis of the search (which restaurant to go to, where to find a product in the area, etc.) Google knows this and happy gives away their phone OS to handset makers because they are pushing Android ahead for Google, which means more total Android handsets in circulation.

Google plays a residuals game, they know their money is made through AdSense. Android dev environment will always be nicer/easier/more open because Google doesn’t give two shit if you pay $2.00 for an app or no $ for an app. They know that all the search revenue that the app and phone generate over the lifetime of the phone will swell to heights much greater than some Cupertino design shop that makes closed, walled-garden devices which move not at the pace of innovation, but Apple’s dictate and desire.

Joseph Futral

“Well, as it turns out, over 40% (and growing) searches on the web have local intent at the basis of the search (which restaurant to go to, where to find a product in the area, etc.) Google knows this and happy gives away their phone OS to handset makers because they are pushing Android ahead for Google, which means more total Android handsets in circulation.”

That’s actually an interesting observation. To hear Eric Schmidt speak on a recent interview, his purpose with Android really isn’t to “beat” Apple and the iPhone, but more likely to make sure Google is the search engine of choice.

iPhone users already use Google search. Now he just needed to make sure all the other smart phones do the same thing. Since Apple wasn’t (and never will be) open to other handset makers using iOS and already prefers vertical distribution and marketing with no attempt at broad base appeal beyond what the products generate intrinsically, and since no one else out there seemed to be able to create a worthwhile phone OS, what better way to ensure Google as the search engine of choice than to create an OS built around that search engine and offer it free to all the companies who can’t do so on their own?

In actuality he seems more interested in beating Yahoo (or any other search engine based on ad revenue) to the punch and showing Microsoft/Bing how to get it done. Microsoft is really the one getting it on the chin… and wallet. Microsoft is being distracted by Apple, when it is Google who is kicking their ass.

Interesting.

Joe

Jon Fo Shizzy

Iphones in America is run by at&t since the phone was release few years ago but my choice for carrier wont be at&t crap service. I am happy competition is getting tough for apple because sooner or later people will switch to android to run away from at&t crap services. Android is open source because close source will be too boring to own.

Bashful Pixie

This is the most ridiculous nonsense reporting Ive seen in quite some time. It’s like saying “Linux outsells Dell and HP combined!”

WHICH Android phone outsells the iPhone exactly?
You are comparing an OS platform to a piece of HARDWARE.

Let us do the apples to apples and oranges to oranges thing, shall we?

Which Android-based device outsells which iOS device? ummm, as far as I know… NONE. NOW, does the Android OS Platform outsell the iOS Platform? I suspect not, because you are not counting iPod Touch devices and iPad devices, all of which use the iOS.

So how about doing your job as a “rwputable” news source by actually pointing out the flaws in this so-called study, report, whatever you want to call it. It’s just like like the comparison of Microsoft (a software company) to Apple (a hardware company.

And no, I am not an Apple evangelist. rather I am simply pointing out the ridiculous and obvious flaw in the whole comparison as reported, which tell me you the reporter are gullible and/or want so badly for Android to win a race that really doesn’t matter to anyone except pundits.

Charbax

Only reason Archos is the only Android Tablet is because Google hasn’t yet officially announced and launched marketplace for tablets.

Android is increasing its market share, Apple is decreasing its market share. Ergo, for each Android phone sold, less iPhones are sold. You look at the number of iphones sold each day, that number is going down. Android phone sales are going up.

Cunt

Stop acting like a retard. Anyone with half a brain understands that this is a comparison between phones with the Iphone OS and phones with the Android OS.

Savi Vila

Simple: How many carriers support Android in USA? All. How many vendors have Android? at least two big players: Motorola & HCT [ Google does not count at all, for now]. Ergo, with one and only provider, Android, the best OS in the “Open Smart Phones” is natural to be first. If Apple goes to all the carriers, these picture could be different.

Mark

Because it would be the most incredibly stupid thing they could do in the long run.

Drummertist

Comparing Android and the iPhone is like comparing two different things.

Since Android is an OS then we should compare Apple’s iOS because it’s an OS as well (that would include iPod Touch, iPhone and iPad). If you compare them like that, then Android’s not even close.

Charbax

Android is today selling 4x more per day than the iphone, and 2x more than iphone+ipodtouch+ipad combined. Just wait until the Android tablets and cheap unlocked Android phones or WiFi VOIP phones are released, then Android will sell 10x to 20x faster than iOS devices combined.

Nissl

Wow, did this article get linked on a Mac forum or something?

Mac is going to wind up in mobile phones and tablets a bit ahead of where they wound up in PC’s despite being the first mover and the innovator and having what is still at the moment a slightly better product. They’ll make a great profit, but they won’t be the dominant OS used around the world.

First, in the leading markets they’re absorbing shots in ads from just about every other major phone manufacturer – watch a sports game and there is an Android phone on virtually every ad break. Why they weren’t on Verizon by this summer I’ll never understand. By now I don’t think Verizon will back off the Droid brand they licensed even if we get a 4G-capable iPhone on Verizon for Christmas. And I don’t think we will.

Second, their products are too expensive for the average BRIC country resident – think the $35 Android tablet the Indian govt was showing off or the array of $150 tablets coming from Chinese manufacturers this year.

Third, the phones aren’t available in enough form factors – large, small, slide keyboard, blackberry-style keyboard.

Fourth, they’re already close to losing their innovation edge and more and more people are piling into Android.

Android will have all the problems of Windows PC’s – that is the bargain consumers make for more choice. Apple will have a market share ahead of their macs, with great profits and much higher volume than there ever was in the PC market. Where I see it becomes a real issue for Apple is when you start getting smart cars, smart TV’s, smart appliances, etc. in the next couple years that are controlled by your phone. They must maintain a large enough market share to be fully support.

Charbax

For some reason, techmeme.com is linking to this article instead of the ones reporting focused on Q2 sales report of Android dominating US market shares.

Joseph Futral

I kind of largely agree, but for different reasons.

First, the Mac (nor Apple) was never a dominant computer, or even a large player in the PC world. I think in it’s hey day, the Mac may have hit 15% or so. Actually, I don’t think the Mac ever hit double digits. Apple hit 15% in 1980, that’s about it.

Further the market back then was completely different (tech heads primarily, few home users, no general consumers) and was built up around DOS (anyone remember DR-DOS?). Apple never had the clout with the typical user base to convince them to use a GUI. Only Microsoft could do that since their GUI was built around the dominant MS-DOS OS.

The smart phone market is a completely different beast. It is even different now than it was before Apple got involved. Up until now RIM was the only real viable US system, with some share to Windows. Apple sparked consumer interest in smart phones, an area the RIM never cared for and now regrets.

Quite frankly, all the same, as others have noted, Apple has never been driven by market share. Apple can lose in the “market share” wars and never really lose. Just because Android is available on more handsets does not mean developers for Android have access to all those handsets. Until Google can provide a more unified OS experience, even as Windows did more successfully than Google is on phones, they will never command the market they have, much less overall. I won’t even get into Google’s lack of attention to usability.

As for whether free or open will prevail, I doubt it. There is no product market that is driven solely by price, not even cars. If that were the case, Yugo would still be around and everyone would have one. Or Sony would never have sold a TV, ever.

We buy on perceived value. I’ll agree that Android has the value of being good enough compared to iPhone, so many people will probably never really consider an iPhone. Or people perceive ATT to be inferior to their current carrier. All sorts of things like that.

Android HAS to be available on all platforms. No one would jump carriers just to get an Android OS phone. They might jump carriers to get away from their current carrier and in the process get an Android, but not just for an Android OS phone.

And really, unless you are this guy:

http://mashable.com/2010/05/15/stallman-software-freedom/?utm_source=SNSanalytics&utm_medium=Twitter&utm_campaign=Tech+News

All this talk of “free” or “open” is a bunch of hooey.

Just some thoughts,
Joe

YoMom

Android phones are on multiple carriers. The iPhone is on one that not many people like. End of story. Of course this is Kevin and Giga Om so he will never point that out because it interferes with his story. he also won’t point out that in countries where multiple carriers have the iPhone Android isn’t doing so well.

Charbax

Only reason apple is selling so many is because one of US largest carrier was only promoting the iphone as its high end smart phone. Once more US carriers gets the iphone, not only does that mean AT&T will dedicate space for a whole range of Android alternatives on its network, Apple will also get much less money per phone as the exclusivity will be gone. Also, other carriers have no incentive to advertise for the iphone which apple wants more money per device, when those same carriers can keep more of the profits to themselves by selling Android devices at the same price and which consumers are buying much faster than the iphone.

kenzy

Wow, iSheep. The United States isn’t the only country in the world. iPhone is sold worldwide iDiot.

johnr

Gosh—in all of these posts it seems there are two “camps”—-the Apple Lovers and the Android Lovers (who may also be Apple Haters LOL)—and they couldn’t be more polarized. And in all of the posts there is ONE…..yes, one person who has had both types of phones and can give any kind of comparison. I have had both….I stuck with the iPhone 4 simply beacause….
It was a better phone for me. Simpler to learn and operate and the interface and user experience is way smoother than the latest Android version—again—at least for me. I found Verizon’s service and coverage to be no different than AT&Ts (basically just as bad or just as good and depended totally on the area.) Verizon coverage was non existant at my place of work while AT&Ts was bad—-but at least acceptable. (another reason I stuck with the iPhone.)
My company bought and paid for the iPhone and contract—whilst I fell hype to all the Android and Verizon buzz and bought a contract.
Bottom line—-I gave the Android to my son who is entirely happy with it—-but if you ask me clearly what was/is the better smartphone—-it’s the iPhone 4.
And I couldn’t give a squat WHO made it—Apple, Microsoft, Google, Sears and Roebuck…..I simply want/need the BEST product (for me). Your milage may vary…..

Jacob Singer

LOL, this was for the 2nd Quarter when Apple was clearing inventory for the new release. Till today, there is a 2 week reservation waiting list in the SOHO and 14th Street Apple Store for the iPhone 4. Apple can’t make them fast enough.

All you are seeing is Verizon/Sprint/T-mobile selling Android phones to their customer base who don’t for whatever reason switch to AT&T. This phenomenon will end once the iPhone is sold on those carriers. Some of these phones are still 1.5 & 1.6 phones being liquidated, some are 2.0 some are 2.1 and few are 2.2 if any. In the wild, I’ve seen 1 Android phone, most everyone is using an iPhone around here. Unless of course you’re at the Google Campus. LOL, hi Google how does it feel to lose market share to Bing?

Charbax

The only people who use Bing are people who buy new Windows computers, as IE is installed by default in all Windows computers and as Bing is installed by default in IE. Nobody chooses Bing by choice.

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