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Android overtaking iPhone isn’t that huge

Posted by TeamITI on May 12, 2010

SENSATIONAL and SHOCKING news has upset the mobile news industry today. One of the biggest market research companies in the US, NPD Group, has revealed that during Q1 2010, Android devices outsold iPhone. Except that it’s not really all that shocking.

Ok, the basic story is this: after the first three months of 2010, Android has passed iPhone in smartphone market share. Google’s OS now holds 28% of the smartphone market in the US. Apple is at 21%, 7% behind its main competitor. And both of them are lagging behind BlackBerry’s 36 per cent.

What we think?

There are numerous angles to this story. It’s hard to say Android is outselling iPhone, because overall iPhone sales are far healthier than any single Android device. Yes, the SUM TOTAL of all Android devices sold is greater than iPhone, but those profits aren’t going to a consolidated source. Apple has a death grip on pretty much every facet of the iPhone, and makes a lot of money from unit sales. Android is licensed out to OEMs at the start of the process, so Google probably doesn’t see a huge amount of profit from those individual unit sales.

And this is the heart of the matter. The acquisition of sales isn’t as important as what Google does with those sales. The number of devices with Android on them was always going to overtake iPhone at some point. I think most people are a little surprised that it happened so early.

This article is published by GoMo News, please read the original article here.


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