Open Warfare: Google vs. Apple

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Open Warfare: Google vs. Apple

Two huge competitors: One, a search engine. The other, a maker of “gadgets”.

1976: Apple is launched by Jobs and Wozniak, high school friends
1998: Google incorporated by Brin and Page, college friends

Google v. Apple valuation as of Feb. 3, 2014
Apple: Current valuation $463.11 billion
Google: $330 billion

A War of Ideas

From Apple


Pro: The first successful tablet computer. Great for surfing, reading, films and games
Con: Yet another thing to lug around. Flash doesn’t work, and memory is pricey
iPhone 4
Pro: Amazing, pin-sharp screen, fast processor, multitasking. The best iPhone yet
Con: Antenna problems have caused dropped calls for some. You’re breaking up!
MacBook Air 11″

Pro: New design is even thinner and lighter, with Flash storage instead of a hard disk
Con: You could buy four netbooks for the money (from £849). And you can’t upgrade the RAM
Pro: Clever idea: adding a social network to a successful music store (iTunes) to boost sales
Con: It’s fiddly and few artists have signed up. Apple’s response, a tie-up with Twitter, needs to work

From Google

Google Instant
Pro: Saves time by showing you search results before you’ve even finished typing
Con: You are now even more likely to be sidetracked while searching
Google Wave

Pro: Cutting-edge collaboration tool combined e-mail, wikis and instant messaging
Con: Too clever for its own good, too slow and too complex. So Google canned it
Street View

Pro: Great to be able to see what it looks like where you’re going, before you get there
Con: Accidental collection of Wi-Fi data landed Google in trouble with privacy watchdogs
Pro: The fastest-growing smartphone operating system, heading for world domination
Con: Tends to lack the consistency, polish and integration of Apple’s devices

The Competition:

Chromecast vs. Apple TV

Chromecast: a $35 dongle that allows users to stream online content to their TVs.
Apple TV: sell for about $100.
Chromecast dongle is about the size of a USB drive – it’s just 35 mm by 72 mm. It’s small enough to easily take with you from room to room, or even out of the house.
The AppleTV device is larger – a 98 mm square.
Instead of plugging directly into your TV like Chromecast, the Apple TV connects to your TV via an HDMI cable.
Chromecast streams content wirelessly from the cloud through an HDMI port in your TV.
• You can control it from your smartphone or tablet,
• You can use your device for other things while you watch.
Apple TV also streams content to your TV from your mobile device.
• The only difference is that i doesn’t use the cloud – it requires that you also run the content on your iOS device while it’s playing on your TV.
• But Apple is rumored to be releasing an update that will allow cloud streaming.
Device compatibility:
Chromecast is compatible with any Android or iOS device, as well as any Mac or Windows computer with Google Chrome.
Apple TVis only compatible with iOS devices (including iPhone, iPad, and iPod touch) and Mac computers.
Chromecast has access to some online streaming apps, including YouTube, Netflix and Google Play. You can also stream anything you can access in your Chrome browser.
Apple TV supports more apps, including HuluPlus, Vimeo, HBO Go®, Disney, ESPN, VEVO and many professional sports networks.
Chromecast and Apple TV aren’t the only players in the game. There’s also:
• Roku, a lot like Apple TV.
• Sony has released the Sony Smart Stick, a USB device that adds Google TV functionality to Sony’s Bravia TVs.

Mobile: State of the Business

998 million mobile handsets were shipped in 2013. That’s a 44 percent increase from 2012.
In the 4th quarter of 2013 alone, 292.8 million smartphones were shipped.
Apple’s iOS fell by 5 percentage points. iOS garnered 15 percent of the mobile operating system market share, which is down from 2012’s 20 percent.
Android Operating System is #1: 79 percent of the market share or 785 million devices.
600 million iOS devices since the first iPhone launched back in 2007.
BUT in Mobile traffic and shopping: iOS vs. Android
• As a percentage of total online sales, iOS was more than 5X higher than Android, driving 23 percent vs. 4.6 percent for Android.
• On average, iOS users spent $93.94 per order, nearly 2X that of Android users, who spent $48.10 per order.
• iOS also led as a component of overall traffic with 32.6 percent vs. 14.8 percent for Android.

App Store vs. Google Play

Apple owns only 18 percent of the app universe, but it banks almost 500 percent more than Google, pulling in $5.1 million in revenue each and every day.
Meanwhile, Google owns 75 percent of all app downloads, but it only takes in $1.1 million per day.

What’s available by category:
• App store:
Games and Entertainment: 26 % of apps are games and entertainment.
Education: 11 %
Books and education: 10 %

• Google Play Store:
Games and education: 12 %
Personalization: 12%
Books and references: 11 %

Video Editing apps:
• Magisto, compatible with iOS and Android (both free)
• Montaj, iOs (both free)
• Viddy, iOS, Android (both free)
• Cute Cut, iOS (free)
• Qik Video, IOS, Android (both free)
• Cinefy, iOS (free)
• Video Grade, iOS ($4.99)
• Splice, iOS (free), Android ($2.99)
• Reel Director, iOS ($1.99)
• Social Cam, iOS, Android (free)

Price Point Distribution:
• Google Play: 29 different price points
• App store: 7

Most expensive apps
• Apple imposes a $999.99 price cap on apps
• Google: $200 price cap
84%: percentage of users who believe iOS is more secure than android.

Google vs. Apple on other fronts:

Going Retail:
Apple Stores
• Launched in 2001
• 406: current number of Apple stores
• Over 7700 people visited Apple’s first two stores in its first weekend alone, eagerly snapping up $599,000 of merchandise.
Google’s Winter Wonderlab Pop Up stores
• 6 locations: Washington D.C., New York, Chicago, Los Angeles, New Jersey and Sacramento.
• Launched in Winter, 2013. Merchandise sales figures not available.

Innovation pipelines:

• Google paid $3.2 billion for NEST makers of high-end, app-controlled thermostats and smoke detectors.
• Google glasses, robots and balloons.
• Google Shopping Direct, which delivers products from Target, Walgreens, and other stores to your home for free.
• Apple is reported working on:
• A smartwatch,
• TV,
• a larger iPhone screen
• A 12.9-inch iPad model.



Carrie Morris

Warren Dahl