Samsung Electronics has become the world’s largest Android mobile devices, this has become a problem for Google. Samsung to become too powerful, and last year it shipped Smartphone Android devices much larger than the second, good for Google mobile advertising revenue growth, but also brought trouble to the company. Sources, Google executives worry that if Samsung power continues to grow, it will require Google to provide more advertising Commission, or require Google to make other compromises.
The Mobile World Congress taking place in Barcelona, Google Android executives meet with partners, Google Android on HTC, new Huawei devices hope, they want to be into Samsung’s competitors. Inside the Google, Samsung’s concerns have been brought up for public discussion.
People familiar with the matter said last fall, Google has met head of Android, Rubin (Andy Rubin) paid tribute to the success of Samsung and said bilateral cooperation is mutually beneficial. However, Rubin also noted that Samsung Android mobile devices occupy a dominant manufacturer, it may become a threat. Rubin also said that Google’s recent acquisition of Motorola mobile, which is equivalent to a “policy”, or a “hedge” to prevent companies such as Samsung gain too much power on the Android.
Rubin, speaking to executives reflect complicate the relationship between Google and Samsung, Samsung’s rise and complicate the company’s relationship with Apple. According to the IDC data show that last year’s 215.8 million Samsung shipped smart phone, 39.6% per cent of the global share, almost all Android device 2011 Samsung and Apple go hand in hand when each for the 19% of the market.
For Google, the problem is that Samsung access to the Android market share, well ahead of its competitors. Samsung Android Smartphone in the four quarter 40.2%, 38.7% in the same period a year ago. Huawei rose to second place, with 6.6% shares, unchanged from the same period in 2011.
Android Tablet market, Samsung shares four quarters of last year to 27.9%, 15.6% in the same period a year ago. As a result, Samsung over the Amazon to become the largest Android tablet. Four-quarter market share last year in the Amazon 21.8%, 2011 four seasons of 34.5%.
Relationship between Samsung and Google voice higher, mainly because of Google through the application of income, they packed in almost all Android devices. Amazon has built the Android software, there is no pre-installed Google application. As a result, greater reliance on Samsung Google Mobile revenues.
Understanding the relationship of insiders said Google get the revenue from Web search, Google executives worried that Samsung will request more share of online advertising revenues.
Sources say, in General Samsung would receive the revenues of 10%, but Samsung had conveyed signals for more, and more importantly from Google maps, YouTube’s revenue is growing.
Outside observer has become aware of the relationship changes. One boutique investment bank Rutberg&Co General Manager lajifu·changde (Rajeev Chand) says: “Google really faced threats from Samsung, with the passage of time, Samsung will use their share of control over negotiations with Google in order to get better conditions. “Lajifu·changde believes that Samsung may be asked to get better before the other manufacturers of Android software or pre-installed with more of their own programs, or take a greater share of Google in mobile advertising revenues.
Last fall, Google has said years of mobile advertising revenues will reach $ 8 billion. Search for revenues includes revenues from Apple device networks, there are music and video sales revenue on an Android device.
Some analysts believe Samsung Android Smartphone and Tablet sales last year received $ 60 billion in revenues in 2011 only US $ 30 billion. Overall, the Samsung over $ 180 billion in revenue last year, an increase of 20%.
With the cooling of relations between Google and Samsung, Android team can partner with Motorola mobile, Android device launches better than rivals, but doing so will allow other Android devices from. There is currently no evidence to suggest Google Motorola mobile eccentric.
Samsung is also prepared in Microsoft Windows Phone bets, also has its own Tizen system. While Google is in preparation for the x-Phone mobile phones in order to compete with the iPhone and Samsung Galaxy s. Samsung on Monday confirmed that the Galaxy s IV will be released in New York on March 14.
When competing with Apple, Google and Samsung still consider each other as allies. This week, Samsung launches 8-inch Galaxy tablet, it will compete with the iPad mini.
People familiar with the matter said, Google hopes Android for new enterprises to join, such as HP. On the Mobile World Congress, HP introduced its first Android tablet, priced only $ 170.