Aurel Jamilov28.01.2011

iPhone & Android Comparison

2

Agenda

• Introduction

• Business Comparison

• Software Comparison

• App Store: User & Developer

• Summary

3

Introduction: Mobile vs Desktop

Source: www.greenorange.com

4

Business Comparison: Some facts from Internet

Google AppleMotto Don’t be evil Think DifferentKey to success Algorithms EleganceWork ethic 20% of employees'

time for pet projects120% of employees' time for Steve's projects

The employees who matter

Engineers Designers

How decisions get made

Data, data, data Because Steve says so

Car of choice Prius Mercedes SL55Big challenge Can they make money

on anything but search?

Does anyone but Jobs have vision?

5

Business Comparison: Market Capitalization

In 6 years, Apple’s market capitalization outweighed both the new and old tech champions Bloomberg.com

6

Business Comparison: Supply Chain Overview

Figure 1: Supply Chain Overview

Source: Communications of ACM

7

Business Comparison: Android vs iOS

• 5 Nov 2007:Android announced

• Oct 2008 First Android running smartphone

• 1st 1 mln devices sold within 70 days

• 14 OEM currently ship the Android based devices

• 9th of Jan 2007 iPhone announced

• 29 June 2007 market introduction of iPhone

• First 1 mln devices sold within 74 days

• Manufactured by Apple only

8

Business Comparison: Google Android

Originally Search Engine/ Online Ad Business

• Economies of Scale• Broad Handset Manufacturer

Base• Supported by variety of Mobile

Operators• New Platform for mobile ads• New business opportunities in

HW segment

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Business Comparison: Google Android

Source: Jason Chen, 2008

10

Business Comparison: Apple iOS

Originally in HW & SW Business• Premium Brand with high

margin• Strong product ecosystem• Halo effect• Economies of Scale• Controls the seamless

integration of hardware and software

• Less bargaining power from supplier/ODM/buyer side

• Faster response to market needsStrong Ecosystem fosters Apple’s “Digital Hub” Strategy through Halo Effect

11Source: Apple Annual Reports 2009

iTunes’ goal is to lock the consumer in

Business Comparison: Apple iOS

Source: Gizmodo.com

13

Business Comparison: VRIO Model

Resources and Competencies

Value Rarity Imitability Organization

Brand Both Apple Apple Apple

Hardware Apple Apple Apple Apple

Software Equal Apple Equal Apple

iPhone named based smartphone device by Engadget, Gizmodo, Consumer Reports, ZDNet, Walt Mossberg of Financial Times etc.

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Sotware Comparison: Specifications

Source: PCWorld.com

15

Software Comparison: Market Share Overview

Source: Nielsen Company

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Smartphones generate 46% of mobile media traffic in May 2010, up from 22% in May 2008

Software Comparison: OS Traffic worldwide May 2010

Source: www.greenorange.com

17

App Store Comparison

• More than 10 bln downloads• More than 250K Apps• Jailbroken

• 1-2 bln downloads• More than 100K Apps• Jailbroken

18

Android and iPhone users spend 79-80 minutes/day using apps

App Store Comparison

Source: www.open-source.com

19iPhone users and Android users spend similarly

App Store Comparison

Source: www.open-source.com

20

iPhone OS average purchase price higher than Android

App Store Comparison

Source: www.open-source.com

21

App Store Comparison

Source: www.open-source.com

22

App Store Comparison

Source: www.open-source.com

23

App Store Comparison

Source: www.open-source.com

24

App Store Comparison

Source: www.open-source.com

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Summary

• Mobile on track to eclipse desktop in the year 2015, 1 out of 3 of phone owners using mobile media.

• Globally mobile internet use has grown 43% over the last year

• Android and iPhone users spend 79-80 min/day using apps

• Over the past year (from May 2009) the number of Android devices has grown 29%

Enjoy the great products from both sides!

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Bibliography

• Burrows, Peter, „Apple VS Google.“ BusinessWeek, 1/25/2010, Issue Nr.416

• Linden G,Kraemer K, Dedrick J, ” Who Captures Value in a Global Innovation Network? The Case of Apple’s iPod” Communications of the ACM, March 2009, vol. 52, no. 3.

• http://www.apple.com/pr/library/2011/01/18results.html

• http://www.comscore.com/Press_Events/Press_Releases/2011/1/comScore_Reports_November_2010_U.S._Mobile_Subscriber_Market_Share

• www.millennialmedia.com/research

• http://bits.blogs.nytimes.com/2011/01/21/will-apple-put-the-iPhone-on-other-carriers/

• http://www.pcworld.com/zoom?id=208491&page=1&zoomIdx=1http://www.reuters.com/article/idUSTRE6AS0XB20101129

• http://touchreviews.net/apple-ios-android-web-share/

Thank you!