Android and the Innovator’s Dilemma | Tech.pinions - Perspective, Insight, Analysis

From a stark Android smartphone market reality check

"One of the most interesting observations about all of this is the innovator’s Dilemma was supposed to impact Apple. This was a fundamental tenet of most bear cases. When the market for smartphones became filled with good enough devices at very low prices, why would anyone buy an iPhone? Yet this is impacting Samsung exactly according to the guidebook — but not Apple. The fundamental lesson to learn here is the innovator’s dilemma, in this case, only applies to Android land because all the hardware OEMs run the same operating system. As I’m fond of saying, when you ship the same operating system as your competition you are only as good as their lowest price. This is the curse of the modular business model. This is also why Samsung had hopes for Tizen. They actually knew this was coming. I know this because I discussed it with them in 2013 and was convinced they understood this was their fate if they continued to sell out to Android. Unfortunately, Android was their only option given its momentum. I’ll make a prediction. Samsung will be out of the smartphone business within five years."

Android and the Innovator’s Dilemma | Tech.pinions - Perspective, Insight, Analysis