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It enabled device manufactures to do what they do best (build lots of devices).
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The extreme flexibly of Android ‘bows down’ to the device manufactures AND the carriers. Google has been wildly successful with Android (at least in terms of units) because Android was built to reduce friction between all sides of the market.
A topic for another day, but my belief is over the long term this strategy will start to deteriorate for Apple for now it’s serving them very well. They have then used that fact to force the carriers into being even more of a fat dumb pipe. They despise the inter- and intra-platform fragmentation that exists.Īs noted above, Apple has been successful (at least in terms of generating revenue) in this space by cutting the device manufacturer out. Some care deeply about monetization features of the platform others care more about distribution. They will target whatever platforms have the greatest promise of ‘eyeballs’. Actually own most of the real innovation. They love speeds & feeds and will generally buy anything they are told to by television ads and RSPs (Retail Sales Professionals).ģrd Party Developers: Deliver the most of the end-user benefit. All they know is they buy phone service from mobile carriers and/or buy a phone from a carrier. They are highly influenced by advertising. Their core business models (search, desktop/server OS, office, …), as well as the fact they can’t build HW, means they are always at the mercy of some middleman between them and the customer. OS providers: Own the core of the customer experience.
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But their HW bias (and manufacturing capex structure) prevent them from breaking out of this (there are no proof points of large hardware manufacturers becoming successful software companies). They hate being just a fat dumb pipe, but their capex structure means they will never be anything but a fat dumb pipe.ĭevice Manufacturers: Own the hardware.
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Windows Phone is attempting a different strategy… The five primary sides of the mobile device market:Ĭarriers: Own the customer.
Apple has changed the game by cutting out one of the sides of the market. Android has succeeded (in raw unit numbers at least) by capitalizing on that misalignment. In fact, there is such deep misalignment that there is great instability. In the mobile device space the five primary sides of the market are not actually aligned very well. The more sides to the market that exist, the more complex the system and the harder it is for the cycle to start. So much positive value is exchanged, with low friction, that the cycle grows and grows, like a snowball rolling down hill. The device manufacturers, mobile operators, OS providers, developers, and end users operate in an overly complex virtuous cycleĪ virtuous cycle is one where each side of the market both gives and receives positive value from the other sides. The fact that Windows Phone has, thus far, avoided fragmentation (almost every WP7 device from every manufacturer & carrier automatically got updated to WP7.5 “Mango” this fall) actually points to one of the core reasons:
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NOTE: This post was inspired by a comment I posted on Hacker News in response to Ed Bott’s article on the Android ICS update fiasco. The question is: will end-user dissatisfaction with Android’s inconsistencies and fragmentation be strong enough to allow the better product to succeed.
My belief is Microsoft’s “end-user first” approach with WP7 has a impedance mismatch with the carriers & device manufacturers while Google’s approach reduces friction with carriers & device manufacturers at the expense of end users. People ask me all the time why, if I think Windows Phone is such an excellent product, sales appear so lackluster.
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