Apple vs. Google

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Negotiation Thesis:
Analysis of Tech Battle: Apple vs. Google

Table of Content
1. Apple vs. Google abstract
1.1 Conditions in the mobile industry
1.2 Apple’s industry statues and iOS strategy
1.3 Google’s industry statues and Android strategy
1.4 Apple vs. Google: Stakes and conflicts

2. The Negotiation
2.1 Steve Jobs’ personal interest
2.2 Apple vs. Google: Historical relationship between the parties 2.3 Apple’s first negotiation move

3. Negotiation Failed
3.1 Steve Jobs: Thermonuclear war with Google
3.2 Coopetition

4. Current Situation

5. Conclusion

I. References

1. Apple vs. Google case abstract
This Thesis describes the critical battleground and conflicts, identifies the parties’ interests, operation systems, and strategies between Apple and Google. It explains the reasons why Apple and Google changed from friends to rivals. Then during negotiation phases, taking Steve Jobs prospective, how he negotiated with Google and why later he was willing to go for ‘thermonuclear’ litigation war against Google. The lesson from this study includes when the negotiation has failed, the coopetition strategy came to the table. Eventually, Apple and Google desire for negotiation to resolve their patent disputes. 2.1 Conditions in the mobile industry

In 2010, the hardware devices and software applications were going through a major expansion. With ubiquitous internet access, mobile devices with advanced functionality were rapidly gaining on traditional desktop computing as the most popular form of computing, changing the basis for competition throughout the industry. Research firm predicted that mobile phones will surpass PCs as the way most people access the Internet. The mobile devices are made available to anyone with instant internet connectivity. Who needs a desktop or laptop PC when you can check email, listen to music, and watch video 27/4? The mobile devices are good enough for normal people usage, which is far more convenient. It is no surprise that the tech giants were aggressively battling for control of this new mobile world. 2.2 Apple’s industry statues and iOS strategy

Apple earned approximately $40 billion in revenue in 2009[1]. Apple’s product lines including iMac, iPod and iPhone have all contributed to the company’s enormous success in the Internet era, and the company hopes that iPad will be as successful as the iPhone. Apple was the leader in mobile software applications. Part of the reason for the popularity of the iPhone was due to the success of the App store. There were more than 85,000 apps available to the more than 50 million iPhone™ and iPod touch® customers worldwide and over 125,000 developers in Apple’s iPhone Developer Program[2]. “The App Store has reinvented what you can do with a mobile handheld device, and our users are clearly loving it.” said Steve Jobs, Apple’s CEO. Apps enrich the experience of using a mobile device and created a significant competitive advantage over rival companies. iOS is Apple’s proprietary operating systems that originally released in 2007 for the iPhone and iPod Touch, it has been extended to support other Apple devices such as the iPad. Steve Jobs sought to keep Apple’s operating systems exclusive – closed off from rivals and tightly integrated with Apple hardware. 2.3 Google’s industry statues and Android strategy

The company was founded by Larry Page and Sergey Brin. Google is dominant in Internet-related products and services, including internet search, cloud computing, software and advertising technologies. Advertising revenues from AdWords generate almost all of the company's profits. Due to the trend that more people switch to mobile computing as the primary method for accessing the internet, Google has no certainty that it would be able to maintain its dominant position from its own research facilities. Therefore Google began developing a mobile operating...
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