Tuesday, January 5, 2010

Apple and Google: Friends, or Foes?

Apple is famous for being a secretive company. It's famous for being a trend setter, and it's famous for its design prowess and its sexy products. Its also famous its marketing abilities, and for being a highly profitable money making machine, and a company equally famous for being tight-fisted when it comes to spending its famously huge cash reserves, now totaling some $31-34 billion dollars.

That enormous stock pile of cash, in turn, has prompted a lot of articles to be written as to what Apple could, or should do with it. Now, according to Kara Swisher, in her BoomTown blog, Apple is about to spend a portion of it - a whopping $275 million smack-a-roo's to acquire Quattro Wireless, a mobile advertising company, in a direct attempt to help it compete against Google's recent $750 million purchase of AdMob, a company Apple first attempted, but failed to buy.

After first buying and snatching LaLa.com from Google, and now Quattro, what can I tell you, except to say that this could indeed end up becoming one hell of an interesting and messy fight between two gigantic companies that up until recently where seen as the best of friends, but whom are now seen, according to some, acting increasingly more like foes, and two companies on the verge of an all out war.

So, the question is: are Google and Apple really close friends, or are they now distant foes?

That I can't quite say for sure, but for starters, it certainly seems that it's becoming increasingly more that way. Something also tells me that Google's and Apple's recent acquisitions are just the beginning, and that we will see both firms end up doling out even a lot more cash, in the future, for even a lot more companies.

In conclusion, with Google's $21 billion vs Apple's $31-34 billion in cash reserves, and their highly innovative and competitive spirits, well, all I will say is that this could indeed end up becoming a very competitive war, and one that could end up becoming very, very interesting to watch, and, may I also add - very, very expensive as well!

And that's my 2 cents 4 this, last day of the year, Tuesday, January 05, 2010


The Vital Muse said...

WIth today's roll out of the Nexus 1, I'd say foe is the word. Should be an interesting month for you with the long awaited iSlate apparently about to make the scene... and I'm still debating the relative merits of buying a Kindle!

I am a lover of children's literature said...

Thanks Paul for your comment. A lot of people would tend to agree with you. ZDNet asks the question of whether or not the Nexus-One is really a new category of phone - the super-phone?

80% of people polled said it was a lot of BS! Certainly, it has some cool features like voice control and dictation, as well as an AMOLED screen, but these are things that Apple, or anyone else, could easily add at any point. Still, it's an impressive phone and all the more reason I believe that the next iPhone will be the real 'super-phone'!

AS far as you considering the Kindle, personally, I would wait until the end of the month, because if what I'm hearing is true, well, the Kindle's days may be numbered.

daniel said...

This is going to be one heck of a year with all the goodies around the corner. Islate, 2ghz ARM A9 processor, chrome OS, Its going to be a busy year for bloggers!

I am a lover of children's literature said...

Thanks for the comment Dan, and yes, your correct, this is going to be a pivotal year in tech and by the end of it, well, we could see a whole new landscape emerge.