Jump to content

Didn 't Google make money on Motorola?


G+_Kevin Spitzer (JaguarXT
 Share

Recommended Posts

I don't feel like you can compare the two. Google doesn't make the hardware, and they basically give the OS away, it's technically an open source project. Samsung can sell a few million phones and Google sees very little of that revenue, if any. They just want to get their services in people's hands. The services are how Google makes their money.

Link to comment
Share on other sites

I'm with Franklin Bates on this one. This is a silly comparison. Google made profit every time an Apple user search for things on Google. Apple made money on hardware, while Google made money on online services. They may both be developing mobile OS, but they have totally different business model.

 

For Google, Android is about driving down the cost of accessing the internet. Their Android team could be losing money left and right but they would be able to recuperate that from general increase of Internet users, which leads to increased usage of Internet search, ads revenue, YouTube creators and users, business using Google Apps, sites using Analytics, developers using GCE, etc. For Apple, had their mobile business been losing money, they'd have to shut it down. Apple's service businesses is purely intended as a value added service for the hardware they sell.

 

The reason Google feels it's worth it to pay $1 billion to Apple to keep itself as the default search engine tells you that that position is worth a lot more than $1 billion that it paid out.

 

A more sensible comparison would be between Apple and Samsung, as they both run hardware business.

Link to comment
Share on other sites

 Share

×
×
  • Create New...