Wednesday, June 9, 2010

Google vs. Apple

This is a very interesting article that I found in the Wall Street Journal about a conflict Apple has with other companies. More specifically, Google is protesting about the new rules for the iphone and iPad programmers. They claim that with these changes they are preventing application developers from using their advertising technology. This example raises an important issue that affects the online business community, competition. The Internet has made the world smaller. People have access to all sorts of products and services from almost every country. Barriers to competition affect consumers in the long run. Competition is what drives the prices down and therefore shouldn't be manipulated.

Read the article!!!

http://online.wsj.com/article/SB10001424052748704575304575296702116945806.html?mod=WSJ_hpp_LEFTWhatsNewsCollection

3 comments:

  1. i think that is quite explainable. Steve Jobs now is planning to introduce the iAds. So preventing other application developers from using their advertising tech, they are creating space for their application that is soon to be introduced.
    But it is a very crucial point that you pointed out, that consumers demand access to all access to all sorts of products and services, so this strategy has to be revised or they will find themselves at a competitive disadvantage with this limitation.

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  2. The war for the domain of the mobile advertising has begun, to me all these restrictions are because Apple is going to launch iAd mobile advertising network and they are putting these restrictions to Google in order to put them out of the market. In my opinion Google is no longer a search if not the biggest advertising agency in the world and that’s why this new battle would affect Google just little but I believe that Google will keep the leadership in this area.

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  3. But this is competition in ad space. iPhone apps are in essence "ad space" that was create by apple. The apps themselves are made by developers and they make their cut along with apple when consumers buy the apps. Now business will buy ad space from apps and the developers and apples will get their cut.



    imagine if google will allow any company to use the right side of the search window to put ads up. This is pretty much the same thing. Apple now has joined the advertising game.

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