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Google Inc (GOOG), Microsoft Corporation (MSFT), Apple Inc. (AAPL): The Future King of the Smartphone Industry

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Apple Inc. (NASDAQ:AAPL), Google Inc (NASDAQ:GOOG) and Microsoft Corporation (NASDAQ:MSFT) are currently the largest technology companies in the world. Each of these giants has its own domain where it is the leader and pioneer. Microsoft is the leader in software operating systems and Google absolutely dominates the search arena. Apple Inc. (NASDAQ:AAPL) has developed itself into the world’s largest technology company due to the immense success of its iPad and iPhone. The two devices have triggered a technology revolution which has totally transformed the computing and ‘phone’ industry. Apple has not just provided revolutionary hardware to its customers but a comprehensive eco system as well.

The Industry

Since the launch of iPhone, a number of companies have come up with their own take on a smartphone. The most successful in these attempts has been the Samsung and Google Inc (NASDAQ:GOOG) partnership. The hardware of Samsung combined with Google’s Android has given Apple Inc. (NASDAQ:AAPL)a run for its money. The real power of Google’s Android is not only its visual beauty, but in fact the Google’s ecosystem. Recent trends in the smartphone industry show that manufacturers and consumers are placing more emphasis on the capability and price than design only. These are signs of a maturing industry because customers are less willing to pay for a brand name only and want their money’s worth.

Like other technology industries, the smartphone industry also relies on specialized semiconductor companies. Therefore, every manufacturer almost has the same capability to load more power and speed into their device. This makes it very hard for companies to create a competitive advantage based only on their hardware offerings. That is the very reason that ecosystems are the future of smartphone industry and all major players have to further enrich their respective ecosystems if they want to dominate the handheld arena.

Ecosystems

Microsoft Corporation (NASDAQ:MSFT) currently has the largest ecosystem in the world, primarily due to their Windows presence. On the other hand Android and iOS dominate the smartphones and tablets. The Android is currently the largest handheld ecosystem in the world and offers itself to handheld manufacturers all around the world. Therefore, Android users have tons of choices when it comes to selecting handheld hardware and Google Inc (NASDAQ:GOOG) ensures that Android gives a uniform experience across those devices.

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