Apple to face tough competition following Google-Motorola-Lenovo deal
Apple is reportedly set to face a tough competition following to the recent business deal between Google and Lenovo over Motorola Mobility.
Google sold its unpromising Motorola Mobility unit to Lenovo for 2.91 billion dollars, which helped the search giant shed off the burden and gave the Chinese PC maker an opportunity to expand its flourishing brand name.
However, this deal could pose a threat to Apple, which would now face a more focused Google, as well as a stronger Lenovo, Cnet reports.
Google can now go back to focusing on making great operating system and apps, mend its bumpy relations with Samsung and other vendors, instead of worrying about sustaining its own hardware operations.
Analyst Avi Greengart said that getting rid of Motorola helps Google, and anything that Google can do to create a more cohesive user experience across vendors is competitive to Apple.
Meanwhile, a combined Lenovo and Motorola has the potential to take a large chunk of the market, threatening Apple's position, because Lenovo has a strong track record for dominating markets it enters.
Lenovo is also one of the fastest-growing smartphone makers in China, a market Apple is still exploring with its recent tie-up with China Mobile.
The report said that although Lenovo won't become Apple's biggest threat overnight, but a few years down the line, it may be Samsung and Lenovo jockeying for the top mobile spot, not Samsung and Apple.
(Posted on 01-02-2014)