Apple Vs Google – “Let’s Get Ready to Rumble!”

March 5, 2010

A lot of new companies are searching for and raising venture capital financing intending to use the venture capital funds to challenge the hierarchy and eventually establish competitive positioning in the search engine market. So far Google is the undisputed leader in the industry but it is facing a tough challenge by the possible teaming up between Apple and Microsoft. 

Until now, the management teams of Google and Apple were cooperating with each other, where Apple was using Google as a default search engine for its products and was receiving $100 million per year from Google, in exchange. This sum, although relatively small for Apple, was sufficient to discourage it to dive in the expensive venture to create a competing search engine for its products. However, the recent challenge to the Apple products, extended by Google with the introduction of the Nexus One and its new mobile OS put the “friendship” at risk. 

As a result, rumors are spreading that Apple is on its way to replace Google with Bing, the search engine developed by Microsoft that has been steadily increasing its market share over the past year. This could be a considerable blow to Google’s and significant boost for Microsoft’s market share in the web search space, considering the huge number of iPhone and Mac users. Furthermore, the freshly filed lawsuit for infringement upon twenty Apple patents against the company that makes the Google-phones HTC suggests that Google and its Nexus One could be next. 

President<br>OnLighten

Konstantin is the President at OnLighten, which specializes in Customer Relationship Management (CRM) and business systems strategy, implementation, integration, automation, and training. He was previously an Analyst at OpenView.