Android outsells iPhone in Q1 2010

[Cry Havoc]

http://www.osnews.com/story/23272/Android_Outsells_iPhone_in_the_US

When Apple sued HTC, and targeted Android specifically (news which came out of the blue), many people, including myself, were convinced this was Apple letting the world know they were afraid of Android's rising popularity. This notion was laughed away by many an Apple fan, but it turns out that this is most likely far closer to reality than many dare to admit: in the first quarter of 2010, Android conquered the number two market share spot from the iPhone in the US - and by a wide margin too. Update: Added a graph which better shows the trend.

When Apple sued HTC, I argued they did it out of fear - if you can't beat them, sue them. It's easy to liken the smartphone market to the PC world, a market in which people made a very clear choice, and continue to make that same choice to this very day: people want choice, and people want cheap. Apple is afraid that people in the smartphone market will make the same choices, and as a consequence, sued HTC.

As it turns out, Apple's fear is spot-on. In the first quarter of 2010, Android phones outsold the iPhone in the US by a huge margin. Android smartphones accounted for 28% of the market, while the iPhone takes up 21%. The market leader is still Research In Motion's BlackBerry, which held a 36% market share figure during the first quarter of 2010.

"As in the past, carrier distribution and promotion have played a crucial role in determining smartphone market share," said Ross Rubin, executive director of industry analysis for NPD, "In order to compete with the iPhone, Verizon Wireless has expanded its buy-one-get-one offer beyond RIM devices to now include all of their smartphones."

Buyers can get capable Android phones on the cheap, and get a free one to boot (people prefer cheap), and they can choose from a multitude of models and carriers (people prefer choice). Given no encumbrances, a market will always strive for openness and choice - both on the consumer end, as well as the supplier end.

"Recent previews of BlackBerry 6, the recently announced acquisition of Palm by HP, and the pending release of Windows Phone 7 demonstrates the industry's willingness to make investments to address consumer demand for smartphones and other mobile devices," Rubin added, "Carriers continue to offer attractive pricing for devices, but will need to present other data-plan options to attract more customers in the future."

Sure, Apple will most likely still make far more money per sold iPhone device than competitors will per Android phone, but the trend is clear: as much as I love my iPhone, it will be relegated to a ~10% market share figure within a few quarters. Apple didn't launch the iPad just because it wanted to - it launched it because it needs to. They see the writing on the wall.

----


Shocking. Draconian business practices and comparatively high prices lead people to buy a product other than Apple. Truly, this has never happened before. :lol

[eyeh8u]

dude we get it you dont like apple, you like microsoft, except when it comes to consoles then you hate Microsoft

[IronMexican]

This is like that episode of Hey, Arnold where he sells a shitload of those watches and then gets double the shipment the second time and no one buys them cause everyone already has one.

[4>0rings]

dude we get it you dont like apple, you like microsoft, except when it comes to consoles then you hate Microsoft
:lol

[Cry Havoc]

dude we get it you dont like apple, you like microsoft, except when it comes to consoles then you hate Microsoft

Interesting.

I own an iPhone, and an iPod Touch.

I'm not sure why you have to apply "hate" or "like" to a company. I support MS when they make a product I think is worth buying. I buy Apple products that I think are worth owning. I don't buy an MS product that I don't think is worth my money. I've said over and over that the 360 is a good system that I personally find no reason to own, but I don't mind eradicating stupid falsehoods that 360 fanboys try to throw around.

Apple led the revolution we see going in phones and the integration of smaller computers now. That said, I think they've completely dropped the ball on a lot of possible innovation due to the attitude they have that people will buy their product no matter what, because it's shiny and looks good. And you know what? They're completely correct, and I think the new iPhone will probably be another excellent phone to have. But as the numbers show, they're losing a ton of ground to Android now because of how rigid their business model is. I think this will just continue as phones like the Evo 4G are released that trump the processing power of the iPhone.

[ElNono]

Android, which is the software, is kinda weak... That they would ship more units make sense considering they ship it with multiple carriers and on cheaper phones. But from a developer standpoint, their store is light years away from the iTunes store, and their SDK also leaves quite a bit to be desired.

Ultimately, what Apple did well is to make a seamless and simple to use experience. I think the very big mistake the competition made is that they think Apple sells because of the shiny looks, but the reality is that people appreciate the simplicity and integrations of all the parts, software-wise.

Will the competition catch up? Sure. It happened with Windows back in the day, and I thought XP when it came out was better than anything Apple offered at the time. That's why Apple must absolutely keep on innovating. OS 4 is a step in that direction. In the meantime, I'll probably revisit Android again in a few months. We had a few requests to port our mobile software to that platform, but so far we have been unable to justify it. Maybe if the numbers keep going that way, and their base software solidifies, then we'll give a shot.

[leemajors]

more devices, more carriers. shocking

[dolacheck]

I hate that the media brought this stupid android vs iPhone thing to the public.

I don't see how anyone can compare the 2. The iPhone is a phone where as android is a os running on multiple phones on multiple carriers. That's like saying halo is superior to the ps3 cause it's sold more units. It's the same sort of arguement and has no merit.

Simply put the iPhone is a phone and android is a os. They cannot be compared to each other IMO. This comparison needs to be dropped.

[Cry Havoc]

Android, which is the software, is kinda weak... That they would ship more units make sense considering they ship it with multiple carriers and on cheaper phones. But from a developer standpoint, their store is light years away from the iTunes store, and their SDK also leaves quite a bit to be desired.

Ultimately, what Apple did well is to make a seamless and simple to use experience. I think the very big mistake the competition made is that they think Apple sells because of the shiny looks, but the reality is that people appreciate the simplicity and integrations of all the parts, software-wise.

Will the competition catch up? Sure. It happened with Windows back in the day, and I thought XP when it came out was better than anything Apple offered at the time. That's why Apple must absolutely keep on innovating. OS 4 is a step in that direction. In the meantime, I'll probably revisit Android again in a few months. We had a few requests to port our mobile software to that platform, but so far we have been unable to justify it. Maybe if the numbers keep going that way, and their base software solidifies, then we'll give a shot.

I agree with you that the iPhone OS is still the best on the market right now for 80-90% of people using a cell phone. It really is the easiest to use without question. However, the customization of Android gives it a big leg up, and brings it close to par with a jailbroken iPhone.

What surprises me is how firmly a foothold Android is taking. They really are out to cover every base with the OS. It's pretty incredible how quickly their version of the app store is developing as well.


more devices, more carriers. shocking

It's shocking with the speed at which Android has taken root in the US. It will be interesting, with Android's present lead in sales how the Evo 4G vs. iPhone battle will play out. Of course the iPhone will likely ship many more units, but without the Evo, I would expect Apple to retake the (non RIM) market share lead. With the Evo however, it could give a huge boost to Android sales. The Droid has already made a pretty wide foray into getting some people to turn away from AT&T.


I hate that the media brought this stupid android vs iPhone thing to the public.

I think Google and Apple are far more responsible, since they seem to be so at odds with each other these days.


I don't see how anyone can compare the 2. The iPhone is a phone where as android is a os running on multiple phones on multiple carriers. That's like saying halo is superior to the ps3 cause it's sold more units. It's the same sort of arguement and has no merit.

You mean, the company that took cell phones by storm and the only company that might be more highly regarded than Apple in the eyes of the general public, who is attempting to cut directly into Apple and RIM's share of the cell phone buying market? You really don't see the need for a comparison between Android and the iPhone? I think it's a relatively obvious competition right now, to be honest. Google wants as much of the market as it can get, and Apple is the flag bearer. When the iPhone came out it was being directly compared to Blackberrys, until review sites realized that the phones cater to completely different buying sectors.

The iPhone and the Android-based phones are being aimed at the exact same consumer base. That's why they're being compared. They want to be the hot new item that people with buying power and technolust are after. They do the exact same thing and they are even attempting to provide extremely similar services. The comparison is apt.


Simply put the iPhone is a phone and android is a os. They cannot be compared to each other IMO. This comparison needs to be dropped.

But the iPhone relies on a proprietary operating system that is ONLY available in the iPhone/iPad/iTouch form. It's like saying that the Windows vs. Mac debate is stupid. But you're comparing hardware specs and operating systems in both. This is completely analogous to the PC vs. Mac wars of the past decade or so. One offers a huge range of configurations with a very low entry price point and full customization, the other offers a streamlined experience that's more focused on ease-of-use, but tends to have a higher initial price point, and a very limited number of configurations. There are slight differences here, as Apple seems to be more competitive in price but with fewer incentives beyond ease-of-use as compared to the computer side of things.

[leemajors]

and htc hero owners on sprint finally getting android 2.1

[Cry Havoc]

and htc hero owners on sprint finally getting android 2.1

Better late than never, right?

[leemajors]

Better late than never, right?

they've been stuck at 1.5 until now. i guess. sprint needs to get their shit together

[Cry Havoc]

they've been stuck at 1.5 until now. i guess. sprint needs to get their shit together

In fairness, what cellular provider has it together right now?

AT&T is hemorrhaging customers because of their abysmal record handling the iPhone data bandwidth demands. Sprint has been pretty roughshod in terms of rural coverage and doesn't have the best customer support. Only Verizon seems to not be making an ass of itself nationally, but basically every friend I have who has Verizon says they hate the service and that it's unreliable.

I think it's a lose-lose at this point.

[leemajors]

sprint's still losing way more customers than anyone, i think at&t is still adding more than they are losing. i was mostly talking about getting their shit together in regards to android updates.

[koriwhat]

i hate sprint and i hate my shitty blackberry too!

[leemajors]

now this sounds cool:

http://lifehacker.com/5543720/google-announces-android-22-with-flash-google-tv-at-io-conference

[TwAnKiEs]

The my Touch Slide releases on the 2nd. Time to update my phone :greedy

[leemajors]

The my Touch Slide releases on the 2nd. Time to update my phone :greedy

not all 2010 HTC phones will receive the update.

[TwAnKiEs]

The slide is launching 2.1 which is better than my launch phone (1st gen touch) (1.6). If it doesnt run 2.2 right away, then its ok... im not that picky since phones dont stay around forever :toast

[Dex]

Give me a break. They are already giving those stupid Droid phones away, which never bodes well for a device . iPhones are restricted to one shitty carrier, cost at least $100, and they are still leading the pack.

IMHO, the number two spot is up for grabs and Apple could care less, because they won't be surrendering #1 with the iPhone anytime soon.

[Cry Havoc]

Give me a break. They are already giving those stupid Droid phones away, which never bodes well for a device . iPhones are restricted to one shitty carrier, cost at least $100, and they are still leading the pack.

IMHO, the number two spot is up for grabs and Apple could care less, because they won't be surrendering #1 with the iPhone anytime soon.

How is Apple #1? Both Android phones and those made by RIM are presently selling more than Apple. And if you think Apple can even maintain it's current market-share by staying exclusively with AT&T, well, I don't know what to say, but that's lunacy. Apple isn't even the top cell phone manufacturer in the U.S., therefore, they are far from invincible.

[Whisky Dog]

I seriously hope these android platforms can get as streamlined and slick as the iPhone OS, so the competition can being about a price war and benefit all of us. Or at least I can find a suitable replacement. I tried using my gf's nexus1 and the droid OS is cumbersome as hell.

[Dex]

How is Apple #1? Both Android phones and those made by RIM are presently selling more than Apple. And if you think Apple can even maintain it's current market-share by staying exclusively with AT&T, well, I don't know what to say, but that's lunacy. Apple isn't even the top cell phone manufacturer in the U.S., therefore, they are far from invincible.

http://personalmoneystore.com/moneyblog/2010/05/10/android-vs-iphone/

So Android is number 1 because they've had one stronger quarter? I'll give it the present moment, but I don't expect that to last. iPhone 3Gs sold 4x what the Droid sold on its opening weekend, and that's in the current, more applicable market. It's one phone / one carrier approach is still keeping neck and neck, even with Droid's 30 phones / 12 carriers.

http://www.kokeytechnology.com/gadgets/cell-phonesmobile-phones/verizon-droid-sales-vs-iphone-3gs-sales-2009/

The only thing the iPhone has going against it is that everybody who wants one probably already has one, or has an iPod Touch.

[Dex]

To be fair, both are still well behind Blackberry in the market share, but for some reason it's easy to forget about Blackberries.

[Cry Havoc]

I seriously hope these android platforms can get as streamlined and slick as the iPhone OS, so the competition can being about a price war and benefit all of us. Or at least I can find a suitable replacement. I tried using my gf's nexus1 and the droid OS is cumbersome as hell.

Well, the Droid is saddled with less than impressive specs for a phone. But I've heard people say they love their Droid. Personally I feel that the notification system on the iPhone is my biggest pet peeve -- I HATE getting a text message that covers my screen when I'm buying something on eBay. So for that alone, I'm looking forward to moving over to Android.


http://personalmoneystore.com/moneyblog/2010/05/10/android-vs-iphone/

So Android is number 1 because they've had one stronger quarter? I'll give it the present moment, but I don't expect that to last. iPhone 3Gs sold 4x what the Droid sold on its opening weekend, and that's in the current, more applicable market. It's one phone / one carrier approach is still keeping neck and neck, even with Droid's 30 phones / 12 carriers.

http://www.kokeytechnology.com/gadgets/cell-phonesmobile-phones/verizon-droid-sales-vs-iphone-3gs-sales-2009/

The only thing the iPhone has going against it is that everybody who wants one probably already has one, or has an iPod Touch.

No, which is why I said that presently Android is outselling the iPhone. But the sheer fact that it was able to beat Apple's offering so convincingly says that the iPhone's days as the flagship for cell phone dominance is limited. Just like in Windows PC that offer hundreds of configurations and price ranges, Apple's business model of extremely limited options will mean that it's eventually going to be catering to an incredibly specific demographic, which is not something you can possibly do if you hope to claim dominance of an entire market (cell phones).

More options and cheaper prices will almost always win. Does that mean Apple will fail or even be unsuccessful in their method? Not at all, I expect the iPhone(s) of the future to enjoy continued success. But there is no way they are going to dominate cell phone sales over the next 5 years unless they drastically change their marketing techniques and offer a range of iPhones and plans.


To be fair, both are still well behind Blackberry in the market share, but for some reason it's easy to forget about Blackberries.

Well, RIM caters more to the business end of the market, and although a lot of consumers buy them as well, they don't have the wow factor that the new touchscreen smartphones have. They aren't pushing the edge of the tech forward and therefore it's more difficult to call them a serious contender for the leader of the cell phone race, unlike Apple, HTC, and Google, who are touting much more advanced hardware specs.

[leemajors]

http://gizmodo.com/5546439/speed-tests-show-flash-101-slowing-down-android-22-significantly

the on demand part could be nice, but I honestly don't miss Flash much on my phone.

[stretch]

This is like that episode of Hey, Arnold where he sells a shitload of those watches and then gets double the shipment the second time and no one buys them cause everyone already has one.

lol i remember that episode

the one with the triangle watches?

[stretch]

i hate sprint and i hate my shitty calf tats too!

http://c1.ac-images.myspacecdn.com/images01/51/l_288d25621087ef632edb20c72cb31bf8.jpg

[IronMexican]

lol i remember that episode

the one with the triangle watches?

Yeah.

[Cry Havoc]

i hate sprint and i hate my shitty blackberry too!

Where's your iPhone? Aren't you all about the Apple stuff?