Google purchased motorola...hows that impact the mobile phone market..?
Motorola Mobile Computing Division is purchased by Google on october 14th for 12.5Billion USD in all cash sales..
This is indeed a big move and the entire industry is watching the future action plans of Google..the competition is parallely working out strategies to keep themselves in the race..
How does the mobile smartphone industry head towards in the near future?
What are the options with Google and how the market & competition shall react to them?
A. Google shall package distinct Android ( with some special app or any feature)with best hardware of Motorola the way Apple operates now..they shall also be selling normal Android to other OEMs...
however does Google have the supply chain expertize as it has always been in the software only?..if this is going to happen this way then competition like sony,samsung,htc need to start looking for options as they may not get full support from android..option is none other than microsoft windows os...they also do not have much options but to manage Google & continue business..
In this scenario, Google is safe with Android..
Under very remote chances, if all these manufacturers turn to WP7 then the flip side to Google is the volumes of motorola phones are very very less..they have to venture complete supply chain to have global reach which is cake walk for sony,samsung,LG..
B.Motorola shall continue to be a separate company and Google continue to conduct business the same way focusing only on softwares..
then there raises two options with regards to competition 1.makers like sony, samsung,htc fearing this association, can turn more towards windows phone os..But as on date Microsoft Windows Phone OS is still available to them..but they have very limited phones with WP7..So it is less likely that they will/can turn to WP7...
but already with windows being used by nokia and microsoft supporting nokia by exclusive customisation others may not have much options left..
Motorola Mobile Computing Division is purchased by Google on october 14th for 12.5Billion USD in all cash sales..
This is indeed a big move and the entire industry is watching the future action plans of Google..the competition is parallely working out strategies to keep themselves in the race..
How does the mobile smartphone industry head towards in the near future?
What are the options with Google and how the market & competition shall react to them?
A. Google shall package distinct Android ( with some special app or any feature)with best hardware of Motorola the way Apple operates now..they shall also be selling normal Android to other OEMs...
however does Google have the supply chain expertize as it has always been in the software only?..if this is going to happen this way then competition like sony,samsung,htc need to start looking for options as they may not get full support from android..option is none other than microsoft windows os...they also do not have much options but to manage Google & continue business..
In this scenario, Google is safe with Android..
Under very remote chances, if all these manufacturers turn to WP7 then the flip side to Google is the volumes of motorola phones are very very less..they have to venture complete supply chain to have global reach which is cake walk for sony,samsung,LG..
B.Motorola shall continue to be a separate company and Google continue to conduct business the same way focusing only on softwares..
then there raises two options with regards to competition 1.makers like sony, samsung,htc fearing this association, can turn more towards windows phone os..But as on date Microsoft Windows Phone OS is still available to them..but they have very limited phones with WP7..So it is less likely that they will/can turn to WP7...
but already with windows being used by nokia and microsoft supporting nokia by exclusive customisation others may not have much options left..
In this scenario too, Google is safe with Android..
2.other option is status-quo..that is all players shall continue with current 2011 strategy for some more years unless something radical happens in the industry...
Smartphone Market..
Today Software which powers the smartphone is the decision making criteria for customers..
Hence Android,WP7,iOS have a say than the hardware manufacturers...
The market can change if something happens to the hardware manufacturers also..If we look at the hardware, then tablets,laptops also come in, as the components & functions done are becoming more or less common to these devices..
Competition like Samsung,Sony,LG strengths include Display manufacturing technology,Advanced chip manufacturing..as the way things are developing today,Samrtphones,Tablets,Laptops are going to be used interchangeably by users and they want to continue their work in each of these devices from the point they stopped in the other device...For example you may be writing a report in your laptop and may use the pad/phone to check the report &email the same..
Hence to be in the mobile phone space, companies also need to have a good hardware manufacturing technologies..
If we analyse the manufacturers in today's market conditions Nokia,Apple,Google/Motorola,Samsung,Sony,LG have very strong manufacturing technology..
Recent purchase of ericsson shares by sony,clearly shows they want bigger pie in smartphone,tablets,laptop markets..
As on date HTC,BB lack this manufacturing technology by a good notch compared to these companies..
Hence the market shall look for a consolidation in the near future with software & hardware differences both becoming less distinctive..Then the point of differentiation shall be the inter operatability of these devices...
Hence software & hardware have to be developed to be in common to these devices..Already Windows 8 is in that direction as it can be common for Smartphone,Tablet & Laptops..Also in Hardware Sony,Samsung,LG are in this direction already..Apple/Google are also trying to bring a Smart TV...
Hence Google's Decision to Purchase Motorola is a decision in line with the future..!!
From Constantly Innovating Technology, Google has also proved its business acumen!!
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