The Google Inc (NASDAQ:GOOG) Android operating system is picking up steam in a hurry. Despite competition from many companies, including Apple and BlackBerry, Google continues to roll along thanks to its partnership with a variety of manufacturers including Samsung.
Canalys expects more than one billion Google Android based smart phones to ship in 2017. This is a huge number that could be even bigger by 2017 if things go according to plan.
Here is a brief excerpt from the report, explaining just how big the smartphone market is expected to become:
“Worldwide, 1.5 billion smart phones will ship in 2017, according to the latest country level forecasts from Canalys, to account for 73% of all mobile phone shipments. In North America and Western Europe, virtually all phones shipped will be smart phones. Even in Greater China, smart phones will represent 95% of all mobile phone shipments in 2017.”
Numbers like this present a big opportunity for companies such as Google Inc (NASDAQ:GOOG). And as you can see, the trend is growing across the world not just in the United States.
Canalys Analyst Jessica Kwee broke down where Google fits into all this:
“The smart phone market will grow at a compound annual growth rate (CAGR) of 18%, while mobile phone shipments will decline by a CAGR of 9% over the same period. Growth in the smart phone market will continue to be driven by Android. In 2012, over 470 million Android-based smart phones shipped and by 2017 this number will have more than doubled to over 1 billion, giving the platform a 67.1% market share. Over the same period, it is forecast that Apple’s shipments will continue to grow, but at a slower rate than the total smart phone market and hence its market share will fall from 19.5% in 2012 to 14.1% in 2017.”
As you can see, she is expecting Google Inc (NASDAQ:GOOG) to take the reigns with Apple and its iOS operating system taking a backseat.
It is amazing to think that the smartphone market is going to continue to grow, potentially reaching this height by 2017. While nobody knows what is going to happen between now and then, Google Inc (NASDAQ:GOOG) is definitely in position to benefit.
For a chart showing worldwide smartphone shipments, visit the next page: