Google Vs Samsung: Is Google Scared of what Samsung could do in the Future?

Google Vs Samsung: Together, Google Inc (NASDAQ:GOOG) and Samsung have been able to bite into Apple Inc. (NASDAQ:AAPL)’s share of the mobile market. Despite the fact that Google and Samsung have had a good working relationship in the past, it is interesting to note that things may not continue down this road in the future.

Google is one of the hedge fund industry’s most popular stock picks, and it’s always important to pay attention to the smart money (see just why here).

Google Inc (NASDAQ:GOOG)According to a report by The Wall Street Journal, the search engine giant may be worried that Samsung has become too big. So big, in fact, that it could use this power to “to renegotiate their arrangement and eat into Google’s lucrative mobile-ad business.”

At this time, Samsung sells approximately 40 percent of devices that use the Google Android operating system. While his may be less than half, it is easy to see that there is a strong partnership here.

The same Wall Street Journal article goes on to add some information as to how Google Inc (NASDAQ:GOOG) is attempting to “keep Samsung’s leverage in check.”

“Now, as top executives from the world’s mobile industry gather in Barcelona, Google is meeting with other companies in hopes that their Android devices can keep Samsung’s leverage in check by providing legitimate competition, the people said. The Internet-search company is hoping new Android devices from manufacturers such as HTC Corp.”

In the past, Google executives have discussed the company’s relationship with Samsung as well as the mutually beneficial partnership. That being said, they are well aware that too much power given to Samsung could be a bad thing.

Here is some information from the Wall Street Journal, discussing what Android head Andy Rubin is thinking:

“But Mr. Rubin also said Samsung could become a threat if it gains more ground among mobile-device makers that use Android, the person said. Mr. Rubin said Google’s recent acquisition of Motorola Mobility, which makes Android-based smartphones and tablets, served as a kind of insurance policy against a manufacturer such as Samsung gaining too much power over Android, the person said.”

It will be interesting to see how things progress in the future. Google Inc (NASDAQ:GOOG) is in a very difficult spot, as the company relies heavily on Samsung but doesn’t want to hand over too much power.

Check back here for more updates on Google Vs Samsung.

DISCLOSURE: I have no positions in any stock mentioned.

Here are some more news stories for your enjoyment:

Google Unveils High-End Chromebook Pixel

Google’s Anti-Piracy Algorithm Not Effective?

Why I Regret Switching to Android

Biotech Insider Alert - $6 Stock To Hit $40

$200 Million Dollar Healthcare Hedge Fund's #1 Best Idea Right Now

The best healthcare hedge fund out there right now is one of the largest shareholders in this biotech stock. The fund returned more than 20% in each of the last 2 years with a virtually fully hedged portfolio, and it's sending out a BUY signal on this biotech stock. Get your FREE REPORT today (retail value of $300)

This is a FREE report from Insider Monkey. Credit Card is NOT required.
Comments
Insider Monkey Small Cap Strategy
Insider Monkey Small Cap Strategy

Insider Monkey beat the market by 52 percentage points in 24 months. Our beta is only 1.2 (don't click this link if beating the market isn't important to you).

Lists

The Most Wanted Drug Lords

The Oldest Money Managers

The Greatest Directors in the World

Largest Animals in the World

World’s Most Expensive Desserts

Best Selling Comic Books of All Time

A-list Actors who Sabotaged Their Career

Rappers With a College Degree

The Best Jazz Albums of all Time

The Most Influential Jazz Musicians

The World’s Most Famous Photographers

The Best Oscar-Winning Songs

Most Influential Choreographers Ever

Most Expensive Department Stores in the World

The Most Expensive Stolen Paintings in the World

The World’s Most Expensive Teas

Top Oscar Record Holders

The Most Expensive Flowers in the World

Countries With a Booming Film Industry

Most Expensive Cupcakes in the World

Uncommon European Escapes

The Most Stolen Artists in History

Best Travel Destinations in Australia

World’s Most Expensive Musical Instruments

World’s Most Famous Animals

Most Expensive Cakes in the World

Most Expensive Kosher Champagne in the World

Most Expensive Kosher Wine in the World

The Most Surprisingly Dark Fairy Tales

Most Popular Travel Destinations in Asia

The 10 Most Expensive Dresses Ever Worn to the Oscars

World’s Most Visited Art Museums

Best Countries for Photographers to Work in

Best Paid Jobs in the Film Industry

The Most Renowned Recovered Paintings Ever

Child Stars That Turned out Just Fine

Books That Were Banned in the Past Century

World’s Richest Dancers

Best Remedies against Bad Breath

Foods That Improve Your Skin Texture

Best-Selling Children’s Books of all Time

Foods That Boost Your Libido

Best-Selling Books of all Time

The Most Expensive Academy Awards Jewelry in History

Most Expensive Japanese Restaurant In New York City

The Best B-Boy Movies

Most Awesome Hip Hop Documentaries

Foods That Stain Your Teeth

Richest Doctors in the World

The Best Movie Sountracks Ever

Subscribe

Enter your email:

Delivered by FeedBurner

X

Thanks! An email with instructions is sent to !

Your email already exists in our database. Click here to go to your subscriptions

Insider Monkey returned 129% in 2.5 years!! Wondering How?

Download a complete edition of our newsletter for free!