What proof is there that a multitude of models is more profitable? There seems to be plenty of proof — in the form of Apple’s financial results — that the opposite is true. With fewer models, combined with huge volume and a marketing strategy wherein Apple keeps selling and producing years-old models at lower price points, Apple achieves an economy of scale that none of its competitors can match.
The “Android model”1 is definitely “the more, the merrier”. I wonder whether this concept is hurting them by driving sales to Apple because anyone who wants an iPhone, has one or will get one when they can, and I don’t think there are a lot of people who are just giving Android a go before switching to Apple. I suspect most people with Android devices consciously don’t want an iPhone2.
I do think this could start hurting Android come the fall, when Microsoft is going to launch Windows Phone Whatever, which thus far is getting some hype. Chris made a prediction on the podcast that Android would start it’s slow death this year. I think if the OS upgrades continue to be unavailable to many users, and they just keep churning out these phones 4 at time, trouble is brewing. I think the Android phone makers need to get out of this trap of too many devices before it’s too late.
- I say “Android model” because Android is just software licensed to be put on phones. [↩]
- This isn’t a “fanboy” comment, it’s just what I have picked up from most people that own Android phones. The only exception to this rule is probably people on T-Mobile who can’t get an iPhone and like T-Mobile that much [↩]