Although, Apple is a pioneer in manufacturing electronic gadgets and with the recent launch of iPad and iPhone 4 it has lead the tech market in a mesmerizing way. However a manufacturer of cell phone carriers in US, Verizon has claimed that its new wireless will be at par with iPhone’s market share.
It is projected that Verizon can be a threat to AT &T’s market share because of its alliance with Google and the launch of Android-based Motorola Droid X is seen as a strong competitor of iPhone.
If we look at the statistics, we will be able to find out the reason behind collaboration of Verizon with Google. This collaboration is done to develop 6 Android handsets; as a result Google mobile OS will be able to achieve a 13% share in mobile phone market in US. If we make a comparison, RIM has the maximum share of 42%, whereas Apple acquires a 24% of market shares.
In many places, iPhone is still increasingly demanded due to the distortion in AT & T’s networks. But Verizon has been able to cope up with this problem due to its alliance with Google and this will probably bring a lot of opponents to Apple’s iPhone that make use of the Android OS of Google.
Regardless of the popularity and acceptance of iPhone, Verizon has been successfully able to enhance its market share to 26% from the earlier 20%. On the other hand, AT&T’s share in the same time period reduced by 5% from 45% to 40%.
A five year contract was signed by AT&T and Apple before the first launch of iPhone which is going to terminate in the year 2012 and only the internal stakeholders have notice of any changes made in it. With this, Verizon found itself left out in the chase for manufacturing multipurpose phones which were run on programs of third parties. At that time Verizon did not also had good relations with Google and its acts often were not accepted by Verizon’s executives. Google desired to enlarge its network succumbed to a range of software and gadgets and this made the Verizon officers infuriated, boycotting to support the Android OS.
However, later it was endangered with the coming up of iPhone which forced Verizon to ally with the operations of Motorola and Google. The company has held its control and sticking with Google for help and assistance for the Operating system that will be used in the gadget. This may certainly give good results to the company when it brings up the phone in the market.
Due to Apple’s iPhone a lot of Verizon customers have risked the purchase of the Smartphone and it is said to be a joint venture between these companies that will maximize its share of Apple mobiles. However this partnership faces some hindrances with respect to its marketing campaigns, installing its applications and giving logos to all devices manufactured by it. It is also believed that Apple would never give its consensus to put name of some other company on its iPhone.
At the end, Verizon has proved with its remarkable financial performance that it does not need support of Apple to launch a Smartphone.