Android’s threat to the iPhone
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| The first phone to use Google’s Android operating system will be available on October 22. |
If Google plays its cards right, its unveiling of the first Android-powered phone on Tuesday will prove to be more than a distraction from iPhone-mania – it will be the moment the search giant capitalizes on Apple’s control issues.
First, the lowdown on Google’s (GOOG) Android mobile operating system. The first phone to use it, the $179 G1 from HTC, will be available around October 22 and will use T-Mobile’s wireless network. Data plans will start at $25 per month, and cost $35 per month for unlimited access. (Voice plan is separate.) It comes with nifty programs like Gmail, YouTube, contacts, calendar, IM, and Google Maps with Street View, which shows pictures of locations on a map.
Think of Android as an attempt to do for phones what Windows does for the PC, or OS X does for the Mac. But unlike Microsoft (MSFT) and Apple (AAPL), Google isn’t looking to make money off of phone software or hardware; instead, it’s giving Android away for free to any phonemaker and wireless carrier who will bake it into a handset. Why? If people use their phones to get online, the more they’ll do Google searches, click Google ads, and in the process, make Google money.
That clears up why Google needs Android. But do the rest of us? After all, there’s no shortage of smartphones out there already; if you don’t want RIM’s (RIMM) BlackBerry, you can get Apple’s iPhone, Nokia’s (NOK) N95; or a Windows Mobile phone from Palm (PALM), Motorola (MOT) or Samsung.
Google’s answer for why we need another: to save us from folks like Apple and Microsoft. “No one party will control this platform,” Rich Miner, Google’s group manager for mobile, said at the Mobilize conference in Silicon Valley last week. In theory, such a hands-off approach makes it easier for bright entrepreneurs to set up shop and make money without answering to one powerful company. Jason Bremner, senior director of Qualcomm’s (QCOM) cellular products group, vouches for that. “It helps innovation,” he said. “And it drives costs down.”
It’s a timely argument, because Apple has been a bit heavy-handed with its popular gadget lately. We already knew about the iPhone’s basic restrictions: AT&T (T) is the exclusive U.S. carrier, Apple is the only company allowed to make iPhones, and Apple itself decides which programs you can legitimately download and install through its App Store. But in recent weeks, Apple’s inner control freak has grown especially active.
It began in August, when Apple’s App Store police rejected programs including “I Am Rich,” which was little more than a very expensive picture for $999; NetShare, which turned the iPhone into a modem; and Murderdrome, a violent digital comic book.
But a real backlash began a few days ago, when Apple nixed Podcaster, a program that lets people directly download shows without going through Apple’s iTunes. The app didn’t seem to violate any of Apple’s published rules – so why was it tossed?
Creator Alex Sokirynsky, a 27-year-old web developer who writes software in his spare time, blogged his rejection letter: “Since Podcaster assists in the distribution of podcasts,” Apple wrote, “it duplicates the functionality of the Podcast section of iTunes.” The implicit message: Don’t try to improve on our way of doing things. The move even angered some Apple fans. Longtime Mac developer Paul Kafasis blogged that Apple had “gone too far;” online publishing pioneer Dave Winer called it a dealbreaker for developers. (Apple did not respond to a request for comment.)
Actually, Apple has always had control issues. When CEO Steve Jobs returned to save the company a decade ago, one of his first acts was to cancel agreements that allowed other companies to make Macs. Executives almost decided not to release a Windows-compatible version of the iPod partly because it would mean dealing with Brand X operating system.
And of course there are those strained relationships with Hollywood studios, because Apple insists on dictating the pricing for most songs and videos in the iTunes store. To be fair, Apple’s meticulous streak has its benefits, of course – if the company wasn’t so particular, do you think it could build iTunes into the top-selling U.S. music retailer, invent the iPod, and win all those design awards? Yeah, probably not.
But in this case, there’s reason to believe Apple’s hands-on approach could eventually lose out to Google’s more open model. Assuming Google can build and maintain a reliable operating system on its first try (and that’s a big assumption), it’s reasonable to expect major players like Motorola, Samsung and Sony Ericsson to build phones around the free software. And since the wireless carriers are hungry for Internet-friendly phones to compete with AT&T’s lock on the iPhone, Android phones could prove popular. It’s conceivable that in a year, Google-backed phones could be available from all four major U.S. carriers next to Apple’s one, with a wide-open distribution model next to Apple’s curated App Store.
Still, even in Google’s dream scenario, Android won’t gain ground overnight. The first model out the gate is from HTC (hardly a household name), running on T-Mobile’s second-tier network. Adding to the uncertainty around the launch, a number of software developers are taking a wait-and-see stance toward Google’s debut effort.
Andrew Stein, director of mobile business development for Popcap Games, said that while the maker of titles like Bejeweled and Zuma jumped at the chance to be first on the iPod and iPhone, it’s not so excited about Android. “Apple’s been doing operating systems for a very long time, but this is really Google’s first,” Stein said. “I don’t think the first couple of devices are going to be multimillion-unit phones.”
But Google’s got at least one developer eager to take a chance. Sokirynsky, whose rejected iPhone app became a cause for bloggers, said he’s now turned his attention to building a version of Podcaster for Android. “I only developed Podcaster for the iPhone because that was the phone I used and the app I wanted,” he said. “I plan to keep developing for other platforms that are more open.”
The tech crowd is pretty angry huh? Anyways I read some of the comments before mine and it seems that, yeah there are a lot of newbies using Mac, and especially iphones. THIS IS WHAT MAKES YOUR BRAND POPULAR. You think windows is tech-geek only? I’ll show you two dozen people who don’t know what a right click is. I work in IT, own an iPhone, and a MacBook. Neither is close to perfect, but I enjoy using both way more than using Windows/Windows Mobile. Im actually excited to see the new competition, it makes my phone better in the process!
PS is there anything like the app store on another phone? Can you use your phone as a mouse for your laptop? Visual voicemail?( I would think BlackBerry would be all over this before the Storm was to come out.) Well then, I guess Apples mobile device is pretty unique then.
Jealousy is an ugly thing.
finally a competitor Jaider Bertoli
Do any of you actually read tech blogs and what not, or do you just come to CNN.com and decide to read about the new phone after getting your dose of Caylee Anthony and Lindsay Lohan dirt?
Some of you are outright making mistatements. EDGE network??? Did you miss the piece about 20-some-odd cities that will have T-mobile 3G network by October, before the G1 is released?
The guy who made a list and is trying to scare parents and Christians with the words ‘porn’ and ‘lust’ lists the downpoints of the PHONE G1, not of the OS Android (and even mistakenly refers to the phone as Android). The other half of his statements aren’t even true or confirmed (and how could one know? Did they get their hands on a G1 yet? Yeah, didn’t think so). Tech sites actually have side by side photos of G1 next to iPhone and G1 is actually smaller, not bulkier. And it syncs wirelessly. What a liar, and for what? Because they are an iphone fan? Ok, more power to you… but what has you so scared that you have to outright lie? Says a lot about your character.
The cell industry has been dealing with multiple platforms/OS’s for years… it’s nothing new and it’s certainly not ‘mayhem’. You have Palm, Symbian, Windows Mobile, iphone and RIM… and now you have one more, Android. ‘Mayhem’. Please, what hyperbole.
HTC is a solid manufacturer of phones… anyone who knows anything about smartphones and PDA-phones will tell you. I’m sorry, but when I think ’smartphone’, I think HTC (I have owned 2 now), Palm and Blackberry. Sometimes Nokia and Sony come out with a gem as well.
Then another person compared it to the MS Zune… um, in my neck of the woods, the Zune is starting to become attractive. The iPod classic and Nano’s are so saturated and typical that a lot of people I know are looking elsewhere. So the Zune didn’t become an instant hit and overthrew iPod… it doesn’t have to. But the Zune is gaining a following. Have you compared a Zune’s screen to the Ipod’s? (Ipod touch is exempt, I’m talking Classics and Nano’s). It’s very surprising, but if you take the time to look at a Zune, you’ll realize how much nicer it is and it doesn’t look like it should belong to an 11-year old like most iPods do. I have a 60GB iPod video that I’m just waiting to crap out on me so I can go get a Zune.
I’m not bashing Apple though… my iPod has been with me through thick and thin, but the form factor is getting old and other than the Touch/iPhone, innovation has been stale from them.
No one is going to overthrow anyone. It’s all media hype to sell these phones is all. Android is not going to be the end-all, be-all of cellular OS’s, and neither is Mac. or WinMo. Users will pick what is right for them and go with it.
Lets face it.. its going to have basicly the same functionality as any other smart phone. Its great that you can use it on other carriers, but you can do that with the iphone ( google jailbraking your iphone for the techno inept out there.) So whats the bonus other than you get to rag on apple for not being the only ones out there with the tech (which other companies and carries ahve introduced water downed versions already anyhow.)I don’t see the advantage to this other than marketing, which you have to give up the kudos for google for taking this idea and running with. From a sales perspective its an untapped market. All in all its same old hat in a new box.
lol….
look at you mac fans, aka noobie computer uers, bash the article and author….all because you’re scared your overpriced, under-performing shiny piece of technology is about to be confronted on all its worst points and be just another phone with the same old capabilities and less.
you people are pathetic; the author is providing you reliable good info and all you can do is cower with your yellow spines and whine, complain and deny the inevitable.
looks like the iTards strike with all the fear in their bodies……again!
dang you must feel really low to be an apple fanatic; of course, with no spine, a gut full of fear and no technological savvy, i suppose you wouldn’t even notice.
perhaps romper-room should begin making phones so you feeble minded can hold on to something more your mentality.
Oh please “save us from the likes of Apple…..”? I think we were saved by Apple to say the least. Before the iPhone came out every cell phone manufacturer was creating the same boring, cookie cutter style cell phone and reaping huge profits from it all the while consumers like us were yearning for something more exciting. For once we have a company making the type of phones that people always dreamed of.
There may be a place for the google phone but I highly doubt it will be received with the same fanfare as the iphone was when it was first introduced.
If you want open software without the tight control of Apple, Microsoft and yes Google, go put Linux on your PC or mobile phone and run it. But if you want a shiny amalgamation of steel, silicon and copper that can be worn as jewlery, look no where else but Apple.
Please stop acting like Apple is God, they couldn’t do anything write in the early 90’s, but then again, most of the commentors here weren’t alive at that time.
The important concept here is that Android allows for the same OS on different hardware and different networks. More choice, but also a potential for problems making the two work together. The real difference to me is that this is the first phone made available. With multiple hardware companies in the OHA (Motorola, LG, etc) it won’t be long before there a couple Android options out there.
Oh, and James from CA should read before he posts incorrect info. The phone has bluetooth, there is an Android marketplace with apps, and of course it doesn’t have accessories yet, it isn’t available to purchase until October. And the rest of your comments should only be made after using it, so unless you were in NY yesterday morning, you have no basis for your statements.
You know, unlike the control-freak Apple, you can tether G1, play Flash on it, use VoIP, plug in a regular headset, navigate via multi-touch, sync with PCs/Macs, record video on it, unlock the SIM card, change carriers, heck, you don’t even have to register with Google. Android, you see, is an open platform. Unlike Apple’s. It’s open. Who cares if it doesn’t have Skype! It’s open.
Get serious.
I compiled a list of all software, hardware and service flaws of G1 and asked the question, “Would Apple have been utterly crucified and AAPL have tanked if the iPhone came out with so many shortcomings?” in:
The Big List: 30 critical issues with Google G1 phone
http://counternotions.com/2008/09/24/g1/
Do you really think that Steve Job, who is in the BOARD OF DIRECTORS of Google, will kill his own company????
“Apple is the only company allowed to make iPhones”
Is the author serious?
… General Motors is the only company allowed to make Cadillacs.
The point being what, exactly?
Let’s see:
1. Android costs about the same as the iPhone.
2. It cannot yet synchronize with your desktop.
3. It cannot yet have Bluetooth headsets.
4. It cannot use standard wired headsets - you have to use the mini-USB headsets or adapters.
5. It cannot synchronize to Microsoft Entourage
6. It has very little software - no App Store like Apple.
7. It does not have unlimited internet. T-Mobile Throttles you to 58 kbps when you get past 1 gig of downloads.
8. It allows Google to monitor everything you do on the phone.
9. It allows malware, viruses, and PORN applications.
10. It is bigger and bulkier than the iPhone.
11. It has a worse interface than the iPhone.
12. It will be monetized with ads, ads, ads - what Google Does best.
13. It won’t be integrated with an entire ecosystem of protects that work together like Apple’s products and 3rd party accessories.
14. It doesn’t have 3rd party accessories. You can’t accessorize to make it your own.
Hmmmmm.
Would any teenager LUST after this compared to the iPhone? Would any teenager want this for Christmas compared to the iPhone?
Would anyone LUST after this compared to the iPhone?
The answer is NO.
The Android Phones eventually are going to be swamped with Google Advertising. I hate that concept. Apple has proven how to make Hardware and software work together to make an incredible device. Android will not have that luxury. You need to remember Google is doing this to sell their other services and by not having a google hardware platform will be constrained by the hardware others put together. This will be an absolute driver nightmare. I have an iphone. I love it and it will be very hard to change my mind.
You’re thesis is wrong. Consumer platforms need tighter developer control because they have to “just work”. Look at how videogame console developers are treated; Apple’s behaviour is nothing compared to what Sony and Nintendo demand. The reason Windows is such a mess as a consumer device is exactly because no one keeps developers in check. The PC is great as a piece of office equipment (for which it was orginally conceived). As a consumer electronics device, it’s been a nightmare. Apple is doing this right, whereas Android phones will end up the PCs of the mobile world; but unlike the PC, there won’t be an MIS guy there to help you out, so you’ll trash it and move to an iPhone.
Goggomobile! You read it here first!
Dear me, Podcaster allows for downloading huge files over 3G!!! It’s obvious why Podcaster was banned. AT&T’s 3G network is already taxed as it is, allowing for Podcaster to hog bandwidth is DEFINITELY against Apple’s guidelines. It’s the same as the tethering app that got banned, and Apple when it announced the SDK explicitly said it would NOT allow bandwidth hogs. Duh!
I get the Washington Post’s HD video podcast which varies from 100MB to 200MB each. Can you imagine what that does to the network?
All the Podcaster developer need do to get his app accepted is to limit downloading to wifi. He’s got every media outlet singing his song, and the media hasn’t looked into his claim. It’s nonsense.
What a slant! This article LEADS OFF by stating rather bluntly that Apple has ‘control issues’. Yee-haw! And I suppose Microsoft and Google DON’T have control issues? Yeah, riiiiiight.
I think you have a ’slant’ issue, this article is not even about iPhone but you have to unfairly criticism them. Get over yourself. Anyone can write iPhone aps! Are you just dying to by ‘I am Rich’ the pointless application for $999? Seems abusive to me, but whatever streeeeeetttch you have to do to the FACTS to get your SLANT on, right?
Apple are doing a WONDERFUL job. If you don’t like it, go ahead and get a Google phone and be happy with that choice, watching ads, using the oh-so-cool keyboard, getting no customer service whatsoever, using god-only-knows-who-wrote-it open source software vetted by no-one, while Apple will give us the greatest phone/MIB ever made that is already 2 years mature.
I started laughing when I read this article. I would compare this google phone similar to MSFT Zune. Apple will continue to dominate this space and take share away from Blackberry. The IPHONE is an amazing phone. Here comes the noise!
There’s one big detail that 99% of android articles don’t include — Google’s android license is open-source all right, but it’s closed carrier. What that means is that the companies who sell the phones will get to determine what apps can and cannot be installed. Gizmodo pointed this out and it essentially makes the android just like the iPhone in terms of apps, it’s just that instead of Apple being in charge, i’ts T-Mobile, AT&T, Sprint, etc.
I wouldn’t count on downloading that tethering app anytime soon.
It has Wi-Fi , Go to your My-Tmobile login to Pre-order. Call T-Mobile then to offset the discount for an Upgrade if you are with in
2 Months of your Plan expiration 2 Yr) or 1 Month ( 1 Yr Plans)
Needs a $35 (data+unlimited Messages) or a $25 (data + 400 Messages Plan)
For demo see here :-
http://www.t-mobileg1.com/
Oh no, the phone is SIM-Locked to T-Mobile. But I thot the mantra of Android was openess? My hopes are dashed. What happened? Oh the humanity of it all.
Google should not worry about iPhone but instead target the creaky mobile OSes (?) from Microsoft, Palm and Symbian. That’s where Android actually has a chance of some traction.
Two years ago, Android could have competed with iPhone, but now the cattle are out of the barn with a solo developer, for example, already making $250K off of one trivial iPhone game in two months.
It will be interesting to see when that kind of money starts rolling in for Android devs.
Interesting, Apple’s control over the i-phone is very reminiscent of IBM’s stronghold in the 1980s. Funny that what made Apple initially so popular was their 1984 themed commercial that opened the world’s eyes to the IBM monopoly. I see a great commercial in the works for Android to lash out at Apple’s 1984isk control over the i-phone.
Jon Fortt has raised an interesting question.
Is Apple so ‘wedded’ to the iPhone that it would never consider licensing iPhone’s OS to other phone vendors?
I don’t think Apple’s iPhone OS is like EXCALIBUR, so locked-in-stone, that no one can free it except for Arthur.
Apple has a history of having to do things FIRST before others, because — well, just because no one else seems to want to do it first. But once it has done it, well then, watch out, because everyone else seems to want to climb the same ladder.
This was first apparent with the LISA and the MAC’s groundbreaking GUI interface. XEROX had the GUI in its labs at Palo Alto but didn’t seem to know what to do with it. A kid named Steve Jobs is said to have seen it, and apparently he knew exactly what to do with it (albeit with modifications back at Apple).
When Apple creates, it often does so in such a paradigm-shifting and innovative manner that the world changes. “You know why 1984 will not be like 1984″.
Umair Haque has written about Apple’s force-expanding the envelope at http://discussionleader.hbsp.com/haque/2008/08/what_apple_knows_that_facebook.html
The current restrictions will not last forever. The agreement with AT&T will not last forever. And even restrictions on creators like Alex Sokirynsky will not last forever.
Apple does know how to take advice when it is worthwhile advice. Apple does not owe it to anyone to always explain its decisions. When it creates something novel or improves on something, it MOTIVATES others to do the same.
Just witness the efforts of Mr. Sokirynsky. Would he have done what he did without Apple’s “Podcast section of iTunes”?
Not likely.
I’m your basic consumer and honestly I just don’t care. I know you’ve outlined that Apple is controlling what apps can be used but honestly as a consumer again I just don’t care. Can I make phone calls, access the web, text message, use GPS. Umm as a basic consumer I’d just like to see the next version of the iPhone have a better camera and video. Other than that until this issue (open source cell phones) can be explained in a way that really impacts me as a consumer I just don’t care. Sorry.
People still don’t get it. It will be complete mayhem to have dozens of different phone models from many different manufactures all using different combinations of hardware. How do you think a 3rd party programmer is going to be able to handle that? What a nightmare it would be trying to debug your software using an SDK that is not made by that manufacturer. It will be much more complicated then the Windows analogy because the hardware will be even more diverse. With the iPhone you have one manufacturer who is also responsible for the SDK.
So some apps have been rejected while over 6′000 (yes, I counted them, 999 games!) are happy campers in the AppStore.
Seems really that the sky is falling …
Apple protectionist? Say it aint so. LOL. Apple has always been the MOST innovation stifling company. Android will do very well.
Breaking News…
It’s official Google phone will be able to play your old VCR and Beta movies.
I saw lines forming outside my hometown shopping mall, but then I realized they were all still lined up for the Iphone..
I’ve been on the negative side of this whole ‘Google’s iPhone killer’ thing, but have recently upgraded to ‘on the fence’.
Will it be a hit from the get-go? probably not…but I think they may actually have a fighting chance if they play their cards right.
I, personally, will be waiting for an Android compatible phone from sony-ericsson.
HTC has been building Palm and Blackberry phones for years, they just never branded them. Look into your topic material before labeling them an inadequate phone manufacturer.
“Assuming Google can build and maintain a reliable operating system on its first try”
That IS a huge assumption.
1. Google has zero OS experience
2. Great software relies on great hardware integration, doubly so with a cell phone where there are severe battery, memory, screen, input limitations and variations. I hope Google has a “G-Phone-Ready” hardware standard.
3. Open source has almost zero penetration on the desktop and now it’s supposed to work on the ultimate consumer device, a cell phone?
4. Am I missing something as far as virus, malware, spyware, trojans, etc. Is the Google market simply going to “self-police” itself. (Kinda like Wall St.?)
After repeated same question yet no answer from anybody, I want to know what is the security reliability of any open source applications. I am no software wonk, but I cant help feeling insecure about using open source apps . I probably wont know one if I am using it. Isnt open source apps more vulnerable to hackers and snoops than Windows apps or encrypted websites?
Will be interesting to see what develops, but what happens with issues that require customer service? Google mail supports zero customer service even for premium mail members. Are they now going to add a complete phone support group as Apple’s iphone does. The facts are that…. happens and who do you call to get help?
Get Cydia for iPhone, it prevents you from having to deal with Apple
I can wait to have one of those google phones, http://www.jaiderbertoli.com/
I’m wondering when a ‘cross platform mobile’ application market will be launched?
Obviously there are more windows mobile applications than any other mobile platform out there just seems strange nothing competing with the iPhone app store has been launched.
Seems like an obvious choice with
http://windows.MobileAppStore.net
or
http://android.MobileAppStore.net
or
http://iphone.MobileAppStore.net etc etc.
Cheers,
Dean
Nice article but neither Rice Minor nor the author of this article understand the basics of mobile business.
Linux has been around for a while what is the market share of Linux.
what is a good phone? Hardware compliments the mobile OS and vice versa.
I am sure Google might have paid you enough to write this article.
I am not a big fan of neither iPhone nor google nor microsoft but a pragmatic critic.
Google Android phone is like a BMW with a KIA engine or KIA with a BMW engine both are incorrect combination.
Just ask yourself why Apple has been so successful in the past years under steve jobs you will get the answer.
BMW is a good car because of its engine, design, and multiple other factors.
software plays a major part on iPhone but hardware plays a equivalent role in its success.
I am positive there are more people using iPhone than Android phones at Google.
when you write a article do thorough study just don’t do a cut paste from from bunch of bloggers.
Developers and sellers of products and services will go where the customers are. At first, the impact might be that sellers and developers will try out the gphone because of their disapproval of Apple’s actions. However, a bunch of people tried Google Base and Google Wallet too. This is the value of Google’s brand - if they launch something, people try it. However, the problem is that they launch things where there is already an 800 pound gorilla in the space. Unfortunately, like Google Wallet and Google Base, Android will probably fail too. It may garner some attention in the beginning, but after the initial hype, people will start asking for numbers. And, when the initial numbers pale in comparison to the iPhone, this is when the bulls will stop asking about it, and the growing number of bears will add it to their arsenal of Google being a one trick pony. And Google will continue to sing Glory Days as they try to hold onto their once Wall Street darling status.
Right… Just what I need. A phone that eats up data plan transfers with tons of ads. Sure the ads won’t be much at first to sucker you in but they increase exponentially. Take a look at TV an the internet to see the future. 90% ads 10% content (well not that extreme but you get my drift).
Who exactly do they expect to buy these ugly phones? A Jail-Broken iPhone on 3G is way better then using T-mob’s terrible edge network. That is why there is no mad rush to unlock iphones since there isn’t a 3G alternative in the US. T-mob has launched in what two cities now?? AT&T bad, T-mob worse!!
Google’s first operating system? Give me a break! Did you know that every Google server in the world runs Google’s own version of Linux?
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A senior writer for Fortune, Jon Fortt focuses on technology and innovation in Silicon Valley - a subject he's been reporting on since his days as a rookie reporter for the Lexington (Ky.) Herald-Leader. Before joining Fortune in 2007, Jon had reporting and editing stints at Business 2.0 magazine, and the San Jose (Calif.) Mercury News, Silicon Valley's hometown newspaper.
Wow maddawg, you reply to to other peoples opinions with an even greater concentration of toxic, vile sentiment. It reveals your character when you invest that kind of energy into your opinions of what others say about inanimate devices of technology.