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According to a report in the Wall Street Journal, Samsung’s dominance on the market for Android devices has begun to make Google executives uneasy. The latter reportedly worry that the Korean manufacturer is large enough to renegotiate its current arrangement with Google and eat into the search giant’s lucrative mobile-ad business.
Samsung has received over 10% of the latter's revenue in the past. The company has also signaled to Google that it might demand more going forward, as Google's revenue from mobile apps such as Google Maps and YouTube is on the rise.
During a Google event for executives last year, Andy Rubin, the head of Android hailed Samsung’s market success and mutually beneficial relationship with the search giant. He did however, also warn that the Korean company could pose a business threat should it pull too far ahead of its competitors. Samsung shipped almost 200 million Android devices more than its closest competitor on its way to about 40% share of the global smartphone market.
According to Mr. Rubin, Google’s acquisition of Motorola Mobility is a form of insurance policy against manufacturers who gain too much power over the Android ecosystem. Motorola is widely expected to release an Android powerhouse this year, which will likely be dubbed the X Phone .
In a nutshell, the relationship between Google and Samsung is likely going to get more complicated in the near future. Representatives from both companies are yet to officially comment on the matter.
http://online.wsj.com/article[....]lMyQjAxMTAzMDIwNTEyNDUyWj.html
It's a damn shame, personally, I think Google should be encouraging the other OEMs to wake the hell up and also begin innovating and marketing like Samsung, this is the reason why Samsung are dominating, unlike some OEMs, Samsung don't just throw in cheap components and half baked SW and hope to sell a device off as a flagship.
[ This Message was edited by: Tsepz_GP on 2013-02-26 08:23 ]
[ This Message was edited by: laffen on 2013-03-01 00:14 ]
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Posted: 2013-02-26 09:21:44
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Exactly.
But also at the same time if Samsung are driving growth of Android they should be rewarded for it and receive higher royalties from Google.
Google are just annoyed about their poor Motorola performance.
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Posted: 2013-02-26 22:08:21
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The real worry is that Samsung will eventually pull away from Google, and with Tizen OS, that concern should be pretty real.
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Posted: 2013-02-26 22:13:39
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Good to see Samsung also win what.. 5 awards at the awards ceremony
See link
Good to see they get recognition for making the best devices and technology.
[ This Message was edited by: etaab on 2013-02-26 21:19 ]
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Posted: 2013-02-26 22:18:23
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Etaab
Completely agree, at this point Samsung are pretty much the only OEM who are truly driving growth in Android, while the rest are STILL after all these years, trying to find their feet, Samsung should be rewarded for bringing such an incredible amount of publicity and revenue to Android, sort of reminds me of Nokia with Symbian before they bought it.
Google shouldn't worry too much though, we have China on the rise with ZTE, Huawei, Oppo and some others, once they get used to the international market I expect to see them eat away at Samsungs share, whilest burying Sony, Htc and some of the other has-beens. If LG could just get their update policy right they, will also pose a threat to Samsung.
Away
At this point Tizen seems to be more like how Maemo was to Nokia, a sort of side project, I doubt they will replace Android with it, better chance of them replacing Android with Ubuntu mobile OS or Firefox OS. Samsung are playing this very well, they are surfing themselves from all risk, they are making sure that they are on almost every platform, so that if one falls they pick up on the other. I'm willing to bet they have GS4 prototypes running WP, Tizen and maybe Ubuntu to, if Android were to collapse tomorrow, we'd probably see a GS4 running another OS come the 14th of next month.
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Posted: 2013-02-26 22:23:35
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@etaab,the same way Nokia is promoting and really pushing MS Windows phone 8. Yet they had the cheek to use HTC as a signature device
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Posted: 2013-02-26 22:45:10
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On 2013-02-26 22:45:10, Sean72 wrote:
@etaab,the same way Nokia is promoting and really pushing MS Windows phone 8. Yet they had the cheek to use HTC as a signature device
Was thinking EXACLTY the same just now
What these OS providers like Google and MS have to learn is that they can't control the consumers, there will ALWAYS be that one or two OEMs who will take up more market share and leave the others fighting for scraps, that is just how things work, even in the car industry, you have your BMWs, Merc, Toyotas and VWs taking up a huge chunk of the share and profits.
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Posted: 2013-02-26 22:52:59
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Andy Rubin doesn't seem too concerned though:
Andy Rubin says Samsung's success with Android has to do with execution, welcomes Firefox OS
Andy Rubin is considered the father of Android which makes his proclamations important because of his perspective. At a MWC 2013 roundtable, Rubin mentioned that the success that Samsung has had with its Android models is less about Android and more about execution. While more than one company is profiting from the OS, Rubin said that "There’s one big company that’s being hugely successful, that’s mostly about execution. It’s not mostly around Android."
Rubin says that if other manufacturers want to be as successful as Samsung, they will have to find their own way to do it. In other words, Samsung's competitors shouldn't count on Google to close the gap between Samsung and the other Android phone producers. Rubin also made a point of noting the investment Korean based Samsung has made in making its name a world power. Currently, the Samsung Galaxy S III and the Samsung GALAXY Note II are the two models that are driving Sammy's success in the Android space.
In addition, talking about the open source Firefox OS, Rubin said that it might be able to bring the internet to regions of the world where Android can't help. Because of certain hardware requirements that are needed to run Android, emerging markets might have to rely on another mobile OS to bring less expensive phones to certain regions. He added that getting those people to the web that might otherwise never get a chance at using it, can actually help Google.
Rubin also welcomed the opportunity to compete with another open system than with a closed one. "In general, I feel friendly toward them… open is good. Competition is good. We built Android because there was no open operating system," he said.
Great words by ol' Andy, he is totally right, Samsungs success is due to their excellent execution NOT because of Android itself, many Samsung haters will say its due to Android but anyone living in the real world, knows that Samsung were well on their way to success from the days of the I8510 Innov8 and i8910 Omnia HD.
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Posted: 2013-02-26 23:04:22
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On 2013-02-26 22:52:59, Tsepz_GP wrote:
On 2013-02-26 22:45:10, Sean72 wrote:
@etaab,the same way Nokia is promoting and really pushing MS Windows phone 8. Yet they had the cheek to use HTC as a signature device
Was thinking EXACLTY the same just now
What these OS providers like Google and MS have to learn is that they can't control the consumers, there will ALWAYS be that one or two OEMs who will take up more market share and leave the others fighting for scraps, that is just how things work, even in the car industry, you have your BMWs, Merc, Toyotas and VWs taking up a huge chunk of the share and profits.
Nokia is the only one with any value added apps whilst HTC etc have nothing. But anyway imagine if Google bought Samsung though I guess no that won't happen. Why is it since Google bought Motorola have we not seen many new phones from them??
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Posted: 2013-02-27 00:51:50
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I guess that would be because Google have no experience in manufacturing such devices. They're basically a search giant come advertising agency. They would have wanted Motorola to get some people, design and manufacturing expertise to launch their own devices and cut out the OEMs. Rather than rely on companies like Samsung to shift their OS.
Not to mention it was probably cheaper to buy Motorola and then inherit all of their patents. Rather than licence such patents for the next century. Sneaky.
I wouldnt be surprised if they slowly disolve Motorola and absorb all of their assets under the main Google brand.
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Posted: 2013-02-27 21:02:28
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