Clash of the Titans – The Android Beats the iPhone in the U.S. Market Battle
Will Google’s Android succeed in beating RIM in the smartphone race?
Only time will tell, but at least for now, the iPhone is eating its dust.
According to the latest market research conducted by The NPD Group, handsets equipped with Google’s Android operating system have snatched second place in the U.S. market, leaving iPhone behind in third place. The figures for the first quarter of 2010 show that Research in Motion’s BlackBerry holds 36% of the market, the Android phones hold 28%, and the iPhone comes in third with 21%. So, how did the Android OS manage to overtake iPhone?
Above all, the Android’s market growth is attributed to carrier distribution and promotion. Analysts at NPD believe the success of the Android OS is partly due to the recent advertising and marketing efforts carried out by Vodafone and Verizon to back the Android models. On the other hand, AT&T’s exclusivity severely limits iPhone sales. Variety is also one of the causes of the iPhone’s slip into the number three spot. In total, there are 34 handset models equipped with the Android. By contrast, Apple reserves their operating system for their own phones, thus giving consumers very limited options, namely two: the choice between iPhone 3G or 3GS.
Pricing is another factor that comes into play. According to The NPD Group, an average smartphone cost $151 in the first quarter of 2010, approximately half of the $299 consumers have to shell out for an iPhone. According to IDC’s recent research, the leader in the smartphone market is Nokia, with 21.5 million units sold in the first quarter of 2010, 39.3 % of the 54.7 million sold in total. Coming in second is RIM with 10, 6 million units (19.4 %). Apple is third with 8.8 units (16.1 %). HTC with its Android-powered handsets is in fourth place with 2.6 million units sold (4.8 %). And Motorola take the number five spot with 2.3 million units (4.2 %).
Will Google’s Android succeed in beating RIM in the smartphone race? Only time will tell, but at least for now, the iPhone is eating its dust.

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