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  (Source: Jason Mick/DailyTech LLC)
Steve Jobs gets his final wish, companies appear ready to fight to the death in court

Apple, Inc. (AAPL) and Samsung Electronics Comp., Ltd.'s (KSC:005930) have made it clear that they're over cooperating and are gearing up for total war.

I. Samsung and Apple's Settlement Talks Collapse

According to a report by The Korea Times, the phone industry's two largest players, and two of the world's largest intellectual property owners, walked away from the settlement table despite the efforts of Magistrate Judge Joseph Spero to encourage their chief executives to work out a compromise.  With settlement talks failed the "nuclear war" will begin with Apple's trial, which is scheduled for July 30.

For Apple and Samsung the cost of battle may be enormous.  Both companies could see their products banned, at least temporarily in certain regions.  Samsung may be forced to abandon billions in chipmaking revenue it takes in from Apple on a yearly basis.

And Apple may be forced to find a new supplier for its smartphone CPUs.  With past trials reportedly not going well, that could mean inferior product and fewer upgrades for the iPhone.

Apple CEO Tim Cook sounded dejected in his company's last financial report, commenting, "I've always hated litigation and I continue to hate it we just want people to invent their own stuff."

Samsung v. Apple
Whoever wins in Samsung and Apple's full-blown court war could have a monopoly on the mobile market. [Image Source: The Telegraph]

But despite the seemingly promising signs early this month of a bilateral agreement to cut the number of patents asserted in the companies' lawsuits against each other, the pair could not reach a cross-licensing agreement, as both handset makers believed the other should be paying it licensing fees.

With Apple scooping up large LCD screens for its iPhone 5 (Samsung is the world's largest display manufacturer), the two companies' mutual business has reportedly ballooned to $12B USD for 2012 (up from $8B USD in 2011), even as the pair's public relationship has appeared to deteriorate drastically.

II. Steve Jobs Gets His Wish -- Full Blown "Nuclear" War With Samsung

But ultimately the two companies' leadership seem to believe they stand more to gain by destroying each other, versus working together.  

Samsung current has a larger slice of the smartphone market -- 29.1 percent compared to Apple's 24.2 percent in Q1 2012.  But Samsung trails Apple in profit, making just $4.45B USD in profit, compared to Apple's $11.6B USD haul.

Samsung girls
Samsung's attractive models beat out Apple in unit sales. [Image Source: Shootspeak]

Both companies control close to two-thirds of sales and 99 percent of mobile profits, and their cases are built on questionable legal foundations from a technical perspective.  Samsung is suing Apple mostly based on wireless standards patents.  But Samsung should be obligated to license those patents to Apple under the "fair, reasonable, and non-discriminatory" (FRAND) rules that govern standards patents.

Samsung is currently under investigation for its questionable discrimination of Apple licensing-wise.

Apple on the other hand, may have a bit of a case against the original Galaxy S, which narrowly mimicked the iPhone 3GS in case appearance and GUI (much more than any other Android).  

iPhone 3GS v. Galaxy S
(Click to enlarge) 
Samsung's TouchWiz version on the Galaxy S (left) presented a near identical interface, visually, to the iPhone 3GS (right). [Image Sources: Slashgear (left); Ubergizmo (right)]

But Apple's case becomes much more tenuous when you consider that Samsung’s newer handsets bear far less similarity in case appearance or GUI to Apple's new handsets.  
 
Still patent disputes are often less about technical merits and more about the persuasive power of a company's pricey legal team.  In that case, “Apple v. Samsung” will be fought by lawyers when it goes to trial this summer in U.S. federal court.

But one thing is certain; the collapse of settlement talks would have greatly pleased the late Apple founder Steve P. Jobs, even if his company ends up losing this war.  He vowed near his time of death to send Apple into full war mode and destroy Android at any cost -- or perish trying.

Steve Jobs
Steven P. Jobs' dying wish of "thermonuclear war" with Android has been fulfilled.

He commented, "I will spend my last dying breath if I need to, and I will spend every penny of Apple's $40 billion in the bank, to right this wrong. I'm going to destroy Android, because it's a stolen product. I'm willing to go thermonuclear war on this."

Well, that "nuclear" war is now almost upon us.

Source: The Korea Times



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RE: Yawn...
By Pirks on 5/24/2012 8:11:41 PM , Rating: -1
quote:
Android juggernaut marches on extending its lead
Extending whaaa? "Lead"? What "lead"? I thought you meant "extending its loss in profits compared to Apple who grabs almost all the profits" but as always you failed to express it correctly, hehee :)))


RE: Yawn...
By Tony Swash on 5/24/12, Rating: -1
RE: Yawn...
By Reclaimer77 on 5/24/2012 8:40:03 PM , Rating: 4
As an end user I don't care who's making money from what. I only care about my own experience.

Why Apple people seem to jizz all over themselves over how much Apple and developers make off of them is stupid. What's it matter to you?

I guess that's rhetorical because you're obviously financially invested in Apple's success.

quote:
Remind me - minus all those things why is more units sold a good thing?


Because it's that many more people who aren't buying Apple. Always a good thing.


RE: Yawn...
By nolisi on 5/25/2012 1:44:45 AM , Rating: 3
Wow, you get a few things right, but there's still a whole lot of wrong to sift through. Let's deal with the wrong:

a) Apple doesn't really work with OEMs. If anything, they try to cannibalize as much of the market as they can. They're in the practice of building a monopoly, if you haven't noticed. Almost every move they make is to slowly absorb and monopolized by every conceivable piece of their product offering (siri, hardware, exclusion of apps, media). Jobs even tried to cut carriers out of the equation. At some point, Apple will exclude or absorb any competition/collaborators within its ecosystem.

b) This is a valid existing stat, but there's a few reasons why this is and ultimately it may not be a good thing:
1) Apple users on the whole are less likely to be tech saavy, and therefore are unaware of software which is free that may function as well or better than paid software (I've experinced this on my iPad, vs my T-Mobile G2)
2) The closed nature of Apple's ecosystem makes free software overall less available, whether it's valid and useable software (i.e. Firefox) or otherwise.
3) This stat is likely to change as Android's users base is larger, and it has shown to be downloadng more overall Apps than Apple's base

c) Having more software doesn't make it more useable or better when you're lacking key software through a closed ecosystem. I'd love to have Firefox or Chrome on my iPad.

d) Outright lie. I can't add an SD card to my iPad. Android is far more peripheral friendly and uses far more open standards than iPhone/iPad. Apple is rejecting a whole market of third party peripherals.

e) Sure, they've got a lot content.

And now we come to our educational portion of my post. Where I drop some knowledge on you that you either completely fail to realize, or completely ignore.

1) Carriers hate Apple and spend far more to artificially subsidize the platform, for now. As Androids (and other platforms) popularity grows and as more users begin to recognize the limitations iOS artificialy imposes, Apple will be forced to change practices when carriers realize they don't need to put up with Apple's BS. This will likely happen at some point and will impact how much Apple makes off of its devices.

2) Android is a superior value proposition to the end user, hands down. As an open platform with options and versatility both in hardware and in software, Android offers end users value where Apple focuses on its own + developer value. It is shown by Androids far superior marketshare numbers over iPhone.

You're probably going to bring up the idea of OEMs not making (much) money off of Android. But this ignores two things:
1) It is not proven that Android is the direct cause. In fact, many phone manufacturers haven't had a viable alternative as iOS is closed and Microsofts platform is immature and has had less time on the market. Given that Android manufacturers are in competition with eachother as well as competing platforms, it is an unfortunate reality that some Android OEMs are cannibalizing others sales by virtue of having an open market. But this is a reality of *any* competition and is a good thing because of my next point...

2) By virtue of being a lower cost, open and competitive platform, the value proposition is higher to carriers and users alike. Two very important parts of the equation that you always ignore when making your argument in favor of developers and Apples profits- in fact, I would suggest that overall value proposition to the user is a far more compelling argument than "Apple makes a lot of money."

3) Lastly, apple makes a lot of money, yes, but in order to do this, it must take substantial value from carriers and customers. Without change, this will likely prove itself to be unsustainable long term with competition (Microsoft taught Apple this lesson previously). Fortunately for Apple, as they figured out integration in the mobile market and do seem to learn as they are making lower cost versions of their products (which you have maintained that they don't do).

Enjoy.


RE: Yawn...
By Tony Swash on 5/25/12, Rating: -1
RE: Yawn...
By Tony Swash on 5/25/12, Rating: -1
RE: Yawn...
By retrospooty on 5/25/2012 8:34:31 AM , Rating: 4
"In the above comment the sentence in the fourth paragraph ... [insert correction]"

LOL. You actually think anyone gets to the 4'th paragraph of your posts? Now THAT is funny.


RE: Yawn...
By Tony Swash on 5/25/12, Rating: 0
RE: Yawn...
By retrospooty on 5/25/2012 10:20:00 AM , Rating: 1
No Tony, the issue is all anyone sees when they read your posts is "Blah Blah [skew towards Apple regardless of the subject] blah blah" It could be one sentence or these lengthy novellas , but no-one cares because you cant be objective about anything. You do often have some good points and the reasoning behind those points are clearly laid out, but the constant slant toward Apple invalidates anything valid that you have to say. I know your bright enough to get that point, so just let it sink in for a while...

If you can just once, do these 4 things I could begin to take you seriously... Say something truthful and negative about Apples business practices. Say something truthful and negative about Apples products. Say something truthful and positive about Googles business practices. Say something truthful and positive about Android products.

Go for it... I dare ya!


RE: Yawn...
By retrospooty on 5/25/2012 4:00:16 PM , Rating: 2
tony: [crickets]

that's exactly what I thought you'd say. When confronted by logic you always fade away with no response. This way you can act like it never happened and continue to spam onward to the next article. Yes tony, we all notice that too.


RE: Yawn...
By Tony Swash on 5/25/12, Rating: -1
RE: Yawn...
By Iketh on 5/25/2012 4:16:28 PM , Rating: 2
If you never got rediculed and exposed, you'd grow a following of stupids.


RE: Yawn...
By retrospooty on 5/25/2012 4:26:50 PM , Rating: 2
Because your all over every smartphone article on this board spouting your disinformation... As much as you think it's your duty to defend every move Apple makes and every product they create, I think its my duty to call you on your twisited words. The fact is Tony, your debate skills are FAR greater than the platform you champion.

I repeat... If you can just once, do these 4 things I could begin to take you seriously... Say something truthful and negative about Apples business practices. Say something truthful and negative about Apples products. Say something truthful and positive about Googles business practices. Say something truthful and positive about Android products.


RE: Yawn...
By nolisi on 5/25/2012 1:28:48 PM , Rating: 2
Actually, this was your question:

quote:
It is funny isn't it. Apparently Android devices selling more than iOS devices is good for some reason that doesn't involve:


Now I assumed you understood economics, but I'll break it down.

More units sold=lower prices=better value proposition for users/carriers. Having the greater market share also means you have control over the direction of the market. And you're beginning to see Androids effect on the direction of the market- Apple has started to follow Android's lead by integrating features that Android has had (in some cases) for years prior to iOS and creating products that can compete with Android's value proposition (downmarket) to recapture market share.

Greater competition is ultimately good for the market and end users.

quote:
none of the handset makers seem to be be able to make any profit doing so, with the exception of Samsung,


Why do you seem to think this has anything to do with Android, please provide proof instead of supposition. It is more evident that market share shifts towards Samsung devices are the reason for OEM failures. Can you demonstrate otherwise? HTC was (and still is, albeit diminished) netting profits until they lost market share. Android only makes money if you can capture market share, how hard is that to understand?

http://tinyurl.com/bwak8s9

Time to put up or shut up, Tony- please provide some proof other OEMs declines have anything to do with Android. Amazon AND Samsung's profits (you keep ignoring Amazon's profits for some reason) show that Android can be a profitable platform if you market and integrate well.

I'm not going to argue anything else until you show some proof or drop it.


RE: Yawn...
By Tony Swash on 5/25/12, Rating: -1
RE: Yawn...
By karlostomy on 5/26/2012 1:25:55 AM , Rating: 1
quote:
Finally I repeat my simple proposition and ask some one to try to refute it. In the new mobile device world having the largest unit sales does not mean that a platform can deliver more profits for device makers or developers, more peripherals, more or better software, or more content. In which case what is the advantage of a platform selling more units?


That's easy, Tony.
The advantage is for the consumer.
Specifically in terms of lower cost and improvement in economic efficiency.

Any competent student of Economics will tell you that the Android platform is moving the mobile phone market away from the quasi monopolistic practices of Apple toward a more competitively efficient equilibrium.

Apple's practices have resulted in inefficient rent seeking (a term from Economics - look it up) behaviour, such as suing its competitors, that results in deadweight loss (again, look it up) to the phone industry as a whole. This ensures that Apple makes more profit, albeit at the expense of consumers and lack of economic efficiency in the market.

In layman's terms, Apple profits more and consumers pay a higher price than they should. In this instance, the industry is inefficient and a high deadweight loss exists. Producer suplus is high and Consumer surplus is low. Read up on that, please. It's not a good thing for the industry.

The advantage that is provided by the platform that is selling more units at less profits (android) is a reduction in deadweight for the industry as a whole and the capture of more consumer surplus, through increased competition and competitive pricing, close to marginal cost.

In layman's terms, consumers get a better deal and the industry as a whole become more efficient, as consumers now have a choice to buy a better product at competitive prices.

Bottom line is, Android is making less profit, yes, but in doing so is capturing a larger market share. As its market share increases, it is matching and even exceeding the services, peripherals, software and content that is delivered by Apple, but at a lower price.

The consumer wins and economic efficiency wins.
Company profits are down, but as long as there is a profit to be made, even a small one, companies will continue to compete and innovate, until we reach a point of perfect competition.
Of course, Apple is trying to protect its surplus (economic) profits by suing its competitors (rent seeking) to try to stop this from happening. For its shareholders this is a good thing, but for the economy and for consumers this is a terrible thing.

I have addressed your question and refuted your viewpoint.
Any questions, Tony?


RE: Yawn...
By TakinYourPoints on 5/26/2012 3:18:57 AM , Rating: 2
This would mean more if Android was actually a superior platform, but sadly it isn't.

It is a security disaster and is not suitable for enterprise. Numerous government agencies and companies like Halliburton are migrating from Blackberry to iOS. For consumers it is inferior due to a much smaller developer base and weaker app selection, as well as for security concerns. For a casual device to tinker around with, Android is great, but for anything else there are way too many drawbacks compared to the alternatives.

Android being "free" primarily benefits cell carriers and hardware manufacturers, not customers. The ability for carriers to customize their distribution, have control over updates, and Google not having a central OS update repository has been a huge detriment to the platform. Charlie Kindel's (ex-Microsoft GM) suggestion that Google divest itself from Android and follow up with a new mobile platform that they do have control over makes a lot of sense. Android has gotten completely out of their control.


RE: Yawn...
By Cheesew1z69 on 5/26/2012 5:04:19 PM , Rating: 2
quote:
This would mean more if Android was actually a superior platform, but sadly it isn't.
To.....you....


RE: Yawn...
By TakinYourPoints on 5/26/2012 9:19:18 PM , Rating: 2
It is pretty objectively bad, and for enterprise it is a complete disaster.

http://developer.android.com/resources/dashboard/p...
http://www.trendmicro.com/cloud-content/us/pdfs/bu...

If you want to tinker with the home screen though, then its pretty good.


RE: Yawn...
By Cheesew1z69 on 5/26/2012 9:32:28 PM , Rating: 2
Again, to you...


RE: Yawn...
By Tony Swash on 5/26/2012 10:02:10 AM , Rating: 2
quote:
I have addressed your question and refuted your viewpoint.


No you haven't.

Your comment is a simplified exposition of neo-classical economic theory.

It has nothing to do with the reality of the actual global smart phone market as it exists today, not does it explain how Android selling more units than iOS manifests as a concrete advantage in any way to anyone anywhere.

Android handsets do not offer greater value at a lower price than equivalent iPhones.

Android does not allow OEM's to achieve economies of supply and get components cheaper than Apple, quite the opposite actually.

Demand for Apple's products us still very, very high and is rising not falling.

Apple continues to double iPhone sales each year.

Apple's continues to take 75% of the total global phone industry profits.

All surveys of end users show that Apple customers are happier across the board with their products compared to Android customers.

Carriers continue to pay Apple to sell the iPhone for the simple reason that any carrier that dropped the iPhone would start to bleed customers quickly.

It is impossible to have a monopolistic practice, quasi or otherwise, whilst only holding 25% of the market.

Your entire exposition of the mythical advantages brought by Androids higher market share is just vague wishful thinking dressed up in pompous and poorly digested abstract economic theory.

Again I repeat - can anyone offer a real world example of an advantage (with evidence) bestowed on anyone (OEMs, consumers, developers) by Android having a larger market share?

Come guys it should be easy, some of you celebrate Androids market at the drop of a hat so here an opportunity to tell us all why it matters.


RE: Yawn...
By karlostomy on 5/27/2012 7:58:14 AM , Rating: 3
quote:
No you haven't.

Yes, I have

quote:
Android handsets do not offer greater value at a lower price than equivalent iPhones.

Yes, they do. I bought an equivalent android handset at a lower price than the equivalent Apple handset and it does everything at least as well, or better than the equivalent apple model. I have a Galaxy S.

quote:
Android does not allow OEM's to achieve economies of supply and get components cheaper than Apple, quite the opposite actually.

Ok, I am guessing you are actually attempting to refer to economies of scope and scale? Please try to get the terminology right. I have to inform you that companies such as Samsung do indeed benefit from economies of scale and scope. They sell millions upon millions of units, just as Apple does. With increasing Android market share, that will continue to be the case. Not sure what your point was here?

quote:
Demand for Apple's products us still very, very high and is rising not falling.

Demand for Android products is also still very, very high and is rising, not falling. In many areas Android is currently posting higher rates of growth than Apple. Not sure what your point was here?

quote:
Apple continues to double iPhone sales each year.

Reputable analyst IDC estimates that Apple's sales growth has diminished in the most recent quarter.
http://accounts.icharts.net/portal/app?page=TeamCh...
That's not how you continue to double sales, is it?

quote:
Apple's continues to take 75% of the total global phone industry profits.

That's just confirming what I said above. Apple is capturing surplus economic profit by suing competitors, thereby stifling competition and as a result inflating prices.
Thanks for providing further proof on that.

quote:
All surveys of end users show that Apple customers are happier across the board with their products compared to Android customers.

All Surveys? Did you personally check them all? Did you ensure they were all free of bias? Did you ascertain they all were performed without a hidden agenda? Surely you didn't include those surveys that were conducted by Apple themselves? You need to do much better than that.

I can't be bothered answering your other points.
You are just not getting it.
Frankly, I don't think you are capable of getting it.
I feel I am debating with an Apple marketing robot.

Again I repeat that I have refuted your original point.
It's all laid out for you.
You can choose to bury your head in the sand all you like.

You ask for evidence?
Consider this evidence:

I, and millions of others, like my android better than the equivalent Iphone. Android provides better Utility to us than an equivalent iphone. That's why we bought android. Duh.
I, and millions of others, got the android phone for a cheaper price than the equivalent iphone. That shows the benefit of increased competition resulting in lower prices for consumers.
I, and many others, have dropped android phones several times and the screens did not smash, despite the plastic construction, unlike the many equivalent iphones that are very well documented to smash screens so easily. http://www.pcr-online.biz/news/read/ouch-iphone-4s...
http://www.ubergizmo.com/2011/10/iphone-4s-drop-te...

Clearly, it can be seen that Android's increased market share has directly resulted in advantages such as: Cheaper price, same or better services/features and tangible durability improvements.

Millions upon millions of consumers are flocking to android as there are real and tangible advantages, as shown.

What are you not getting here, Tony?


RE: Yawn...
By Cheesew1z69 on 5/27/2012 10:25:15 AM , Rating: 2
quote:
I feel I am debating with an Apple marketing robot.
Bingo....


RE: Yawn...
By Tony Swash on 5/27/2012 1:45:26 PM , Rating: 2
quote:
I feel I am debating with an Apple marketing robot.


I on the other hand feel like I am exploring the world's most perfect example of the Dunning–Kruger effect.
http://en.wikipedia.org/wiki/Dunning–Kruger_effect

My point is that no one can point to a tangible actual advantage that Android's larger market share actually delivers to anyone. All you offer is waffle.

If I can paraphrase your responses to my point:

a) your current phone is better and cheaper than than an equivalent iPhone.

From what I can see the price of an iPhone on contract is about the same as an equivalent Android with a similar spec. In the realm of smart phones Apple's products are not priced significantly higher than equivalent Android handsets. What I don't see is any evidence that Android handsets are undercutting Apple handsets as a result of market share.

b) You, and millions of of others really like your Android handsets.

Well that's great but how is that enjoyment enhanced by having a larger market share? Your enjoyment of your Android phone doesn't seem to relate to the point I was making. Some people love their RIM handsets, is that a function of having a smaller market share?

c) There is a report that it is possible Apple's sales have diminished in the most recent quarter.

That may or may not be true as we don't have any actual figures yet so speculation in any direction is easy. If it is true then it would be an exact replica of the sales curve for previous years, when after the holiday season sales drop back below the previous peak. Given that iPhone sales are seasonal the only worth while comparison is to the same quarter a year ago when Apple sold 20 million handsets (the following quarter that dipped further to 17 million prior to the new model release). If Apple sells anything above 20 million then it is growing. Personally I expect another annual growth figure of between 60-80% but let's wait and see. The main point is that year after year Apple has grown it's phone business by around 100% and there is no evidence (fact based evidence) that that is slowing.

d) Android sales is rising.

So what? Again it doesn't address the point I made which is that having a large market share is not delivering any advantage to anyone.

e) You don't like surveys of customer satisfaction

That's because they all say the same thing - iPhones owners like their handsets more than Android owners. If you think that is not true then find some that say something different.

f) Some Android hand set makers are achieving economies of scale in their supply chain. Duh - obviously. The point is that there is no evidence that those economies are enhanced by Android having a larger market share - but if you have evidence that I am wrong on that by all means post it.

g) You think Apple is capturing surplus economic profit by suing competitors, thereby stifling competition and as a result inflating prices. Although confusingly you are also arguing that Android is power ahead - which is it, stifled or booming?

Apple makes better profits than anyone else because on the one hand it keeps it's costs way down through limiting it's number of SKUs and managing it's supply chain, and on the other hand it demands very high payments from carriers. Carriers pay those high rates to Apple because demand for the iPhone is so intense. If a carrier were refuse to pay and thus be forced to drop the iPhone they know they would immediately start to bleed customers. All the whining about Apple's legal actions is just the usual smoke screen to try to obscure the central weaknesses and failures of the Android business model

Still no answer to these questions:

Can anyone offer a real world example of an actual concrete advantage (with evidence) bestowed on anyone (OEMs, consumers, developers) by Android having a larger market share than iOS?

Can anyone offer a real world example of an actual concrete disadvantage (with evidence) bestowed on anyone (Apple, consumers, developers) by Apple having a smaller market share than Android


RE: Yawn...
By Cheesew1z69 on 5/27/2012 1:58:29 PM , Rating: 2
Yet another novel from the Apple iTool, never fails...

Seriously, how much does Apple pay you?


RE: Yawn...
By Tony Swash on 5/27/2012 3:04:32 PM , Rating: 2
quote:
Yet another novel from the Apple iTool, never fails...

Seriously, how much does Apple pay you?


It must be really galling to have nothing substantive to say. This is a discussion forum, people debate, people have different opinions, people disagree, sometimes strongly, that's the point.

Standing on the edge just hurling insults around is juvenile. Grow up.


RE: Yawn...
By Cheesew1z69 on 5/27/2012 8:23:27 PM , Rating: 2
People debate huh? Sure, most people, but most people don't blindly defend one company no matter the circumstance.

So answer me, how much is Apple paying you to troll? Your go to guy, was found to be a fraud and on Oracle payroll. Funny how you never posted in that article defending him.

Grow up? LOL...perhaps you should get a life?


RE: Yawn...
By Cheesew1z69 on 5/27/2012 8:26:36 PM , Rating: 2
Also....

quote:
The Dunning–Kruger effect is a cognitive bias in which unskilled individuals suffer from illusory superiority, mistakenly rating their ability much higher than average. This bias is attributed to a metacognitive inability of the unskilled to recognize their mistakes.[1]


100 percent you...yet you try to point it towards other people...funny how that works...


RE: Yawn...
By Noble1994 on 5/28/2012 10:24:19 AM , Rating: 1
quote:
Remind me - minus all those things why is more units sold a good thing?


It depends. It's a good thing for consumers because developers are more likely to develop for Android which increases the value of the Android platform even if it's small, You can't deny that fact. But other then that there really is no advantage like you said if more units are sold, it would actually depend on how the software is developed on what parts of it is easy to make money off and how much benefit it gives to the user.

It's similar to how Sony and Microsoft develop consoles and have additional on-line services that sell digital content to the consumer. Going back to my main argument, there's always an advantage for more units being sold depending on how your going to exploit this fact but it's mainly advantages for OEM's. The only other advantage that can be identified is increased competition which is mainly for the consumers benefit. Another example is that one of the main selling points for the iPhone is the App Store and iTunes. Now me and you both know that Apple make a crazy amount of money from both of these services and the amount of iPhones that are sold only increases the revenue. Android could easily implement these services but I haven't seen any evidence of this yet.

In conclusion, it really depends on who the advantages are for but these tend to be advantages for businesses and corporate entities and less for consumers.


"A lot of people pay zero for the cellphone ... That's what it's worth." -- Apple Chief Operating Officer Timothy Cook














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