Microsoft and Intel Take On Apple and Google
Karen is a member of The Motley Fool Blog Network -- entries represent the personal opinion of the blogger and are not formally edited.
The release of Dell’s Inspiron Ultrabook this month marks another victory for the Microsoft (NASDAQ: MSFT) and Intel (NASDAQ: INTC) duo.
For the most part, Apple (NASDAQ: AAPL) fans see Microsoft as a one-trick pony, a dinosaur cranking out software for the soon-to-be extinct PC. They hold the iPhone and iPad up as proof of Apple’s “hip and trendy” products as compared to the dusty desktop. And for a while they were right. Microsoft’s been slow to shift to mobile and the software titan has lost a lot of ground and market share to Apple and Google (NASDAQ: GOOG). But pairing with Intel has given Microsoft a chance to reinvent itself as a major mobile player and competitor.
The Dell Inspriron 14z Ultrabook release sent Microsoft and Intel laughing all the way to the bank – again. Some recent tablets already featuring Windows and Intel include the VIZIO 10, Toshiba Portege, Samsung Series 5, HP Envy Spectre, Dell XPS 13, Acer Aspire S3…well, you get the idea. Microsoft and Intel plan to have Windows 8 and Intel chips in 32 tablets released this year and it looks like they’re succeeding.
Another collaboration in the works is the revamping of Microsoft’s smartphone. Intel would contribute the physical device and the processing chip while Microsoft provided its Windows Phone 8 operating system. Bringing Intel onboard also cuts struggling Nokia out of the picture, thereby eliminating any vendor worries Microsoft might harbor. In turn, Intel needs a software partner and there’s no way either Apple or Google, the two biggest smartphone software owners, will lend a hand to aid a competitor.
Microsoft’s Surface for Windows 8, also announced this month, should have Apple and Google worried. It’s not an iPad or an Android tablet -- it’s a full-fledged computer in tablet form offering what Apple and Google can’t for business and non-business users: MS Office, MS Exchange, SharePoint, Active Directory and more. Surface is touch centric and has a keyboard and optional pen with “Palm Block”. And the processor? Intel’s Ivy Bridge Core i5.
But Apple and Google dominate the mobile/tablet market with the iOS taking 65.27% of the market, and Android coming in second at 19.73%. Windows Phone ranks sixth and has a market share of only .61%. For loyal iPhone and iPad users to defect to Windows Phone and Surface, Microsoft must ensure the products they release are reliable with exciting new features.
Part of the reason Apple and Google dominate the mobile market is due to Microsoft’s absence. With more tablets featuring Windows OS and Intel chips, a redesigned smartphone in the works and the upcoming Surface release, the footsteps Apple and Google hear getting closer and louder belong to Microsoft and Intel.
kprogers has no positions in the stocks mentioned above. The Motley Fool owns shares of Apple, Google, Intel, and Microsoft. Motley Fool newsletter services recommend Apple, Google, Intel, and Microsoft. Try any of our Foolish newsletter services free for 30 days. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.If you have questions about this post or the Fool’s blog network, click here for information.
