Apple provides iPhone 4s and iPhone 5 users with Siri, the interactive voice recognition software that helps users search their devices and acquire answers. Siri impressed many users with her smooth voice and assistance. However, Google Inc (NASDAQ:GOOG)’s technology may now push her by the wayside.
Google Inc (NASDAQ:GOOG) proves it can develop sophisticated apps. In the most recent Android operating system (Jelly Bean), Google Now is equipped with better voice recognition software than Siri. Further, the software improves with continued app use. Developers of Google Inc (NASDAQ:GOOG)’s voice recognition software managed to cut errors by 25% from the last Android operating system, Ice Cream Sandwich. The technology imitates the method in which neurons in the human brain identify patterns and participate in thinking. This allows the software to better understand the user’s accent and speech the more he uses the app. Google Inc (NASDAQ:GOOG) Now is available on both Android phones running Jelly Bean and Apple Inc. (NASDAQ:AAPL)’s app store.
Siri takes a more mechanical approach to its voice recognition. As the user speaks, the software compresses the words into a digital audio file. Then it compares that file to a statistical model usually on the cloud, allowing the software to convert the audio into letters. Therefore, Siri does not adapt to the user’s speech and accent over time.
Beyond Google Now, Android app sales continue to grow beyond expectations. Google Inc (NASDAQ:GOOG)’s app store brought in 38.5% of Apple’s revenues, a great increase from the 10% Google brought in last year. iOS apps still bring in more revenue, 130% more than Google Play, but Google’s current growth provides much promise. To conclude, here’s a startling statistic: according to BGR Media, Google’s app store users currently download 90% of Apple’s downloads.
Google does not disclose revenue figures for Google Inc (NASDAQ:GOOG) Play. However, we do know that Google Play revenue continues to increase through third party reporters App Annie and Distimo.
If Apple wants to continue to impress users with its apps, like it did when Siri first came out, it’s time for software upgrades.
Conclusion
As the firm misses the mark in emerging markets and falls behind in app innovation, we start to see the cracks in the fortress called Apple. As a well-established name brand with large profit margins, this firm’s end will not come anytime too soon. However, it’s not too far of a stretch to consider that Apple Inc. (NASDAQ:AAPL) is off of its pedestal and now on the same playing field as the other major competitors. In short, Apple’s running out of juice.
The article Why Apple Is Running Out of Juice originally appeared on Fool.com and is written by Marie Palumbo.
This article was written by Michele Milheim and edited by Chris Marasco and Marie Palumbo. None have a position in any stocks mentioned. The Motley Fool recommends Apple and Google. The Motley Fool owns shares of Apple and Google.
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