Google Inc. (GOOG) Beats Apple Inc. (AAPL) iWatch to Market

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What does iWatch have that MOTOACTV lacks?
MOTOACTV has market share because it actually exists and the Apple Inc. (NASDAQ:AAPL) iWatch remains a concept, and a rumored one at that. Leaving aside this fairly critical differentiator, if Apple Inc. (NASDAQ:AAPL) is able to release an iWatch in the near term, the prognosticators expect that it will offer browsing capabilities, the ability to run a large number of apps, and potentially standalone capacity — meaning that unlike the MOTOACTV that relies on a connected Android smartphone for communications, the iWatch may include its own antennae. Of course, if that’s the case, users may be treated to the delight of yet another voice and/or data plan to make the iWatch work.

Another major, and critical, distinction between the two products as they now “exist” is that the MOTOACTV has a very targeted sports audience, while the Apple Inc. (NASDAQ:AAPL) device seems to be designed for a wider range of users. This difference may be one of the primary reasons MOTOACTV has remained such a niche product with extremely low awareness. While reviews have been positive, Google Inc. (NASDAQ:GOOG) has done very little to promote the MOTOACTV outside  health clubs.

Motorola continues to lack luster
Late last week, Google Inc. (NASDAQ:GOOG) announced the elimination of another 1,200 jobs in its Motorola Mobility unit, just the latest in a number of cuts that have decreased the division’s workforce by roughly 25%. The specific motivation for Google Inc. (NASDAQ:GOOG) to buy Motorola for $12.4 billion remains a topic of much disagreement, but the division’s Droid Razr line hasn’t kept pace with Android phones available from Samsung, such as the Galaxy S III. Still, if Google Inc. (NASDAQ:GOOG) hopes to see a return on its investment, leveraging existing products would seem like a reasonable first step.

While there have been no indications that Google Inc. (NASDAQ:GOOG) plans to adopt the MOTOACTV design as a template to race Apple Inc. (NASDAQ:AAPL) to market with a full-feature smartwatch, at least as a preliminary offering, the kudos should go to Google Inc. (NASDAQ:GOOG)’s Motorola for design and function. Advertising and creating awareness seem to have been a low priority, which seems odd given the hype the iWatch concept has generated. This segment promises to be of huge importance in the near term, meaning that Google Inc. (NASDAQ:GOOG) and Apple Inc. (NASDAQ:AAPL) investors will be watching closely to see whether a battle erupts and how it progresses.

The article Google Beats Apple iWatch to Market originally appeared on Fool.com.

Fool contributor Doug Ehrman has no position in any stocks mentioned. The Motley Fool recommends and owns shares of Apple and Google.

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