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Apple's business model
2 points by fsokhansanj 971 days ago
Do Apple executives see the similarity in the business model Apple adopted in the 1990's and the current business model they use for mobile devices?

BUSINESS MODEL FOR COMPUTERS:

Apple's business model 1990's ---> Bundle software and hardware together for computers. Instead of dedicating all its energy to streamlining and mastering one element of computing, Apple chose to "master" both the hardware and software.

Competitor's (Microsoft) business model ---> Focus on software, leave the hardware to others. Make money by licensing software. The price of the hardware is driven down due to competition among hardware manufacturers so the software becomes more ubiquitous. The lack of Mac to Window compatibility strangles Apple into submission.

BUSINESS MODEL FOR MOBILE DEVICES:

Apple's business model ---> Bundle software and hardware for mobile devices.

Competitor's (Google) business model ---> Focus on software, leave the hardware to others. License mobile software instead of selling it outright. The price of the hardware is driven down due to competition among hardware manufacturers so the software becomes more ubiquitous. The lack of iOS to Android compatibility results in over 60% market saturation of Android.

Would it be worth it for Apple to consider separating iOS from its mobile devices? How would the Hacker community feel about a Samsung S3 running iOS6?




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