Little money made off Android in China during current 'chaotic phase,' says VC

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  • Reply 21 of 36
    Quote:
    Originally Posted by DrDoppio View Post


    Companies that sell Android products now actually make money too, as do the software guys. I haven't looked at the numbers but my guess is that they make more money than those back in the 80s.







    This is a true difference, for Apple. This time, it will not need Microsoft to save it.



    the problem is not that android oems don't make money, but that they are making less money. in old 80s, to be a credible oem clone maker, the barrier is not that low. now everyone can be, thus if given the same pie, so many can jump in to get piece of it.
  • Reply 22 of 36
    Quote:
    Originally Posted by GalaxyTab View Post


    People are fickle and like pretty things and care little for software updates IMO.



    I think this is a temporary condition, where people upgrade their phones every 2 years or even more frequently. After all, these phones (at least the high-end ones) cost more than a PC and people don't replace their PCs every 24 months. Thus, in the near future, people will think about their phone more like they do a PC, and will expect (insist upon) upgradability.



    The reasons for this expected change:



    1. Smartphone technology is not mature yet, so each generation of phones is much better than previously. Thus people upgrade frequently. This will not be true for much longer.



    2. Provider subsidies (at least in the USA) hide the cost of the phone. But these subsidies are gradually becoming more transparent, and will increasingly become extinct (BYOP plans). Combined with item 1 above, people will want their phones to last 3-4 years or longer.



    3. The international market will become a larger portion of smartphone sales, and we really should be talking about non-US markets (see EU) where subsidies are less common and people pay a lot of money up front for their phones. If I am laying out $650 for my smartphone, better believe I want it to last and be upgradable.
  • Reply 23 of 36
    macrulezmacrulez Posts: 2,455member
    deleted
  • Reply 24 of 36
    auxioauxio Posts: 2,728member
    Quote:
    Originally Posted by JONOROM View Post


    If I am laying out $650 for my smartphone, better believe I want it to last and be upgradable.



    Bang on. People may not care about upgrades for a phone they paid next-to-nothing for, but should they choose to forgo a long-term (subsidized) contract, or not have the option of a subsidized phone, you bet they'll start paying attention to which phones which will last them longer (either that or they'll have to settle for older/cheaper models).
  • Reply 25 of 36
    ipenipen Posts: 410member
    This is not worthy of any news. Android is open source. Certainly making no money out of it is expected. If they can make "a little" money with Android, that's already beyond expectation.



    Business needs to have a main money making strategy other than Android. How can you expect to make lot of money with something that's free. People are lazy.
  • Reply 26 of 36
    wow talk about taking something out of context



    full statement



    ?Nobody is making money on Android software in China, But over the next two or three years it?s going to be one of the most lucrative properties.



    I used to work for Apple and I understand the shortcomings of Apple, I believe Android is the MS DOS/windows vs. Mac in the 80s and the 90s. Android surpasses the iPhone and iOS and for the ecosystem to thrive it?s all about the numbers.



    The Chinese market is much more chaotic, more open. It favors the Android ecosystem much more"



    it was a pro android statement
  • Reply 27 of 36
    macrulezmacrulez Posts: 2,455member
    deleted
  • Reply 28 of 36
    drdoppiodrdoppio Posts: 1,132member
    Quote:
    Originally Posted by JONOROM View Post


    I think this is a temporary condition, where people upgrade their phones every 2 years or even more frequently. After all, these phones (at least the high-end ones) cost more than a PC and people don't replace their PCs every 24 months. Thus, in the near future, people will think about their phone more like they do a PC, and will expect (insist upon) upgradability.

    ...



    You're preaching to the choir, I await eagerly for smartphones to become commoditized.
  • Reply 29 of 36
    Quote:
    Originally Posted by solipsism View Post


    1) What exactly about rather Nexus One makes you think it sould number one? It was sold off contract on a website for 7 months, had many reported HW faults, no track record from Googl/HTC and has been proven to be a brand you can't trust by not getting further updates.



    In the USA it was sold contract free yes, but across Europe it was offered like any other subsidised smartphone. The HTC Desire was almost exactly the same phone (aside from an optical trackpad vs trackball and a tiny bit more ROM space to cater for the HTC Sense bloat.





    Which one sold more? The one with the pretty HTC Sense GUI. The same applies for the Galaxy S vs the Nexus S too.



    Quote:
    Originally Posted by solipsism View Post


    2) if people didn't care about software updates then how did Apple sell 1 million copies of Lion in one day on the Mac App Store, did Siri buckle under 4 million devices doing excessive "testing" of the service in the first weekend of 4S sales, and people complain that their iOS 5.0 should have come with Siri simply because the local HW can handle it. Also, why do major news outlets, not just tech sutes, report updates to Apple's HW and SW. Seems to me these fickle people that you say care little are wanting them. It's usually a good idea to trust the marketers to know what their audience wants.



    This post dampens your rebuttal significantly.
  • Reply 30 of 36
    Quote:
    Originally Posted by DrDoppio View Post


    Sadly, the average consumer is nowhere near savvy.



    Why lament this?
  • Reply 31 of 36
    Quote:
    Originally Posted by digitalclips View Post


    Maybe Microsoft listened to the trolls on AI a few years back that claimed no one in China could afford a smart phone.



    That, or the mono-colored tiles confused the Chinese consumers.
  • Reply 32 of 36
    drdoppiodrdoppio Posts: 1,132member
    Quote:
    Originally Posted by Suddenly Newton View Post


    Why lament this?



    Call me an idealist.
  • Reply 33 of 36
    hill60hill60 Posts: 6,992member
    Quote:
    Originally Posted by DrDoppio View Post


    Please! The majority of the customers don't care, and don't post on tech-centric forums! Could you find a source that is even more biased than GSM arena's comment section?



    Yep, the paid contingent of spivs, infesting sites like this.
  • Reply 34 of 36
    jonoromjonorom Posts: 293member
    Quote:
    Originally Posted by DrDoppio View Post


    You're preaching to the choir, I await eagerly for smartphones to become commoditized.



    However, smartphone commoditization may mean prices will reduce to the level where buying a new smartphone every few months is no big deal.



    If we compare the evolution and pricing of multitouch smartphones to GIU PCs we are at approximately 1986, when a Mac Plus cost $2600. 20 years later commodity PC's dropped to < $500.



    If smartphones follow the same cost evolution, in 2028 an unimaginably advanced smartphone will cost < $70 in today's dollars.
  • Reply 35 of 36
    macrulezmacrulez Posts: 2,455member
    deleted
  • Reply 36 of 36
    drdoppiodrdoppio Posts: 1,132member
    This ^^
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