Apple Inc. (NASDAQ:AAPL) iOS and Google Inc (NASDAQ:GOOG) Android continue to lead the OS market share race. This will be the status quo until another operating system steps up to the plate and provides some real competition.
Both companies feel they have what it takes to be the market leader, however, there is only one spot at the top.
This battle continues to remain so close because of the leadership involved. Tim Cook and Jony Ive are leading Apple, with Larry Page and Sundar Pichai heading things up for Google.
According to a recent study by IDC, Apple has lost market share in the smartphone operating system market due to a surge by Google’s Android. These swings back and forth happen from time to time, and it is always a good idea to keep an eye on the company that is benefiting.
What Happened to Apple Inc. (NASDAQ:AAPL)?
Although Cupertino was able to beat Wall Street expectations as far as shipment volume is concerned, the company lost share in the worldwide smartphone operating system market.
One of the main reasons for this is a surge by Google Inc (NASDAQ:GOOG) Android. Of course, another reason for the dip could be a lack of a fresh smartphone. Fortunately for Apple, when its next generation iPhone hits the market these numbers could turn once again in their favor.
According to Ramon Llamas, a research manager for IDC, “The iOS decline in the second quarter aligns with the cyclicality of iPhone.”
In other words, the lack of a new product launch put Cupertino in a bad position. Not only is its current smartphone getting stale, but the competition is not sitting around. Instead, these other vendors, including Google Inc (NASDAQ:GOOG), are on the move.
Apple Inc. (NASDAQ:AAPL) iOS did not have any trouble holding onto second place during the quarter, as noted by IDC. That said, the gap between Apple and Google remains large with Android holding onto 79.3 percent of the market compared to 13.2 percent for iOS.
Apple may be trailing Google right now, but its next generation iPhone, as well as the potential for a cheaper smartphone, could change the game in the months to come.
These hedge fund managers continue to like what they see from the Apple camp (at least for the time being): David Einhorn, Christopher Hansen, and Jeffrey Edwards. Do you feel the same way about Cupertino?
The video below talks more about the iPhone: