Taking a look at mobile computing, the fine line between phones and the tablets has become faint. Google has a full line-up of Nexus brand devices from a 10″ tablet to the new fourth generation Nexus phone, and we’ll compare them to their competitors. Then, we look at why the upcoming “The Hobbit: An Unexpected Journey” is like no movie before.
Facebook heeding privacy needs? With all the information Facebook has, as well as power over our social strata, people fearing Facebook’s wield of power may not be in error. We’ve seen Facebook take similar steps before, and now the social networking giant is removing the facial recognition we associate with tagging our friends in photos–at least in Europe. Privacy regulators in Ireland say that the feature isn’t coming back until they agree with Facebook on the “most appropriate means” of collecting user data. Facebook is deleting all data collected on European users which was used for the service. The question in many people’s minds may be: ‘Are worries about Facebook privacy protecting freedoms or removing features?’
This week has been full of more Apple headlines. This week alone, Apple has enticed lines of customers to stores everywhere, and this week has upgraded the software on their devices everywhere. Just this week, iOS 6 came to fourth-generation iPods, iPhone 4 and 4S, as well as third-generation iPad. The news OS brings with it better integration with Facebook and Twitter, as well as new apps like Passbook and the revamped Maps app, the second of which has caused much controversy. In short, Apple has brought great turn-by-turn directions to their built-in app, but the accuracy and usefulness of the landmarks and POIs are in question. For instance, can Apple really have made the mistake of putting the Golden Gate Bridge four miles from its true location? In fairness, this is one of few falters in the new iPhone’s design, and the device reviews have also come out this week, pointing to a fantastic consumer device and hardware, if not slightly too similar software. Controversy aside, Apple has had another great week for stocks and publicity. See iPhone 5 review, iOS 6 review, new Maps app.
HTC is shifting design and strategy. With the announcement of two new Windows Phones, HTC has also declared their confidence in their new devices. Despite many similar devices in the past, HTC has proven their ability to step out of the box with design with their new higher-end 8X and mid-range 8S. The devices feature curved glass, simplistic design, and a broad variety of colors. Along with refreshed design, CEO Peter Chou personally declared in an interview that while continuing to support Android, he is “super confident” in the new devices, as well as declaring that we can expect to see Microsoft and HTC put a new marketing focus on this design. See more of the phones.
How can you tell when a market is moving quickly? It’s a sure sign when some companies are falling behind, and worse–they don’t recognize it. Whether it be the hardware, the software, the tablet or phone, the market in cellular and mobile devices is growing at a very fast pace and becoming even more profitable than ever before.
As of early May, we can tell that its likely that about half of everyone in the U.S. who pays regularly for a phone has a smartphone. This is up from about 29% in October 2010. The growth of the smartphone industry has followed, growing significantly as well.
Here’s a severely obvious statement: The entire market in mobile is growing and has grown a lot. Facebook is continuing its unprecedented social network expansion, and Apple is continuing to set precedents with pioneer technology. They’re are growing rapidly, to put it mildly. Maybe a better example is Verizon, which has seen only further growth this quarter, as it has more than the past year. AT&T has exceeded profit expectations with record smartphone sales both 2011’s Q4 (4th Quarter) and Q1 this year. And that’s just in the US.
What’s new, then? Companies in the line of phone making, selling, and supporting are doing great with more smartphones, right? Not necessarily. It seems to be the strategy of many Android OEMs to pump out phones every month or two. But as we saw back in December, HTC was the first to discover that this hit-people-with-everything-you’ve-got method isn’t the most effective. As we go back to Economics 101, the demand, though growing rapidly, isn’t meeting that volume of supply. Without saying anything specifically about HTC’s future, balancing constantly improving and innovating in devices and getting that on shelves and making sure it actually get bought (or that there is sufficient demand) is difficult.
We’ve seen a lot of executive stepping up and stepping down recently anywhere from RIM to Best Buy. HP is reportedly cutting as many as 25,000 jobs as of Thursday. RIM got their new CEO Thornston Heins not too long ago, and is said to be adopting two new executive staff members from Light Squared and Sony. Best Buy has lost its chairman Richard Schulze and CEO Brain Dunn in a scandal, and is in need of a replacement CEO–along with a new strategy. They’re hoping to start this off by cutting 50-some stores, but while already looking at huge losses in revenue. And there are more examples of major rethinking in companies dealing with mobile products, and which are effecting companies’ strategies in the mobile market. The question for these companies and others is ‘Are the changes they’re making to adapt to this market enough?’.
The precedents that have been set recently with fast advancing technology such as quad-core CPU phones and LTE mean that consumers are continuing to expect greater things from manufacturers and developers. Apple could be argued to have largely brought on this age of smartphones, but the personal precedents they set raise the bar for everyone, themselves included. This means consumers expect them to deliver outstanding results as well. Because of these expectations, it’s more than a difficult market. New devices are coming out by the dozen, month-to-month, and companies have to continuously perfect products to keep up, let alone get ahead. If that wasn’t hard enough, companies have to juggle pleasing shareholders, which is far from an easy task. The strategies that companies have directly effect both their end product and end user, and the experience the user gets (UE or UX) can, overt time, come to directly reflect the share values of a company.
But this is like any other market, right? On the contrary, the vicious pace we’re seeing is more than just business competition. The competition for the best smartphone has been speeding forward at a pace which would cause many businesses strain. At this point, its nearly impossible for smaller companies to enter the game unless they have something which can make consumers think twice about their iPhone. We have seen some heads turned with Nokia’s new Windows Phone Lumia line, and considering the company has only reentered the US smartphone game a relative few months ago, the accomplishment is notable. It will be interesting to see if Samsung, Motorola, LG, HTC, Nokia, Sony, RIM, and others, all keep enough of a trusting and trusted userbase to keep on trucking. Can so many companies really keep up?
The answer, however, is difficult. On one hand, the heavy competition and difficulty in pleasing everyone could be a destructive burden that eventually beats out software and hardware giants alike. Yet at the same time, as the market grows, there should be room for more products.
In terms of shares, Apple currently appears to be greatly leading in its industry, to no one’s surprise, with share prices still climbing. Microsoft has been on a downward trend for years, but has had a small trend upwards very recently, though its shares are far below in value. It’s heyday was right around the turn of the century. Google looks tentatively to be trending upwards, growing rapidly, and though perhaps not at the pace of Apple, its share prices are far closer to Apple’s than Microsoft’s. That all said, Google and Apple have under 1 billion shares, while Microsoft has more than 8 billion, meaning that the company’s value could still be equal or higher. Ultimately, its difficult to tell who’s really on top. At least, right now.