Google makes a play for Apple customers with new smartphone
Tech titan Google is pulling apart its Android operating system for the next generation of its popular Pixel smartphones, according to people close to the matter. And one of the big changes coming in is the presence of Apple Inc.’s “controversial new notch”. Google’s new software won’t just mimic Apple’s look – it will integrate more closely with Google’s virtual personal assistant, improve battery life on the handsets, and support a whole range of new designs.
Google’s share price has risen by 28% over the past 12 months
SOURCE: Yahoo Finance
While a Google spokesperson has chosen not to comment, anonymous sources with knowledge of the situation claim that a big motivating factor behind the redesign of the Android operating system is the possibility that the company could poach iPhone fanatics from Apple.
If Google can do it, it will be a significant victory. While Android is by far the world’s most popular operating system, it only commands the low- to –mid-point of the market: the upper echelons of smartphone user – the people who pay more, download pricier apps, and rush to pick up the latest releases tend to be Apple customers.
This, of course, is Google’s main weakness against Apple. Many of the phones running Android are on out-of-date versions of the software. As a result, Google’s newer, better, apps and innovations won’t be accessed equally by all of Google’s customer base.
Still, Google has undoubtedly seen an opportunity. This year, Apple is expected to forgo an outward facing upgrade in order to focus on system improvements for performance and reliability. That might just give Google the pause it needs to capture some precious attention at the high end of the market.
Dominion holds Alphabet, the parent company of Google, in its Global Trends Ecommerce Fund.
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