Thursday, August 11, 2011
I am referring to the events surrounding the decision of Hitler to move East and fight a war in 2 fronts. He ended up fighting the Russians and the Allies. Whatever the reasons, it was the beginning of the end. In the books that I read, the analysis was that it was overconfidence on the part of Hitler. He thought that he could overwhelm the Russians with ease, a mistake that would prove fatal for his regime.
Today, we have Apple fighting wars on at least 4 fronts. It is fighting a war on the mobile phone market in the market itself and in court. It is also doing the same thing on the tablet pc front, where they are fighting in the market and in court. It would appear that all sides are gearing up for a battle royale, which could mark the beginning of Apples unraveling.
Some independent industry analysts are thinking that this multi-theater battle smacks of desperate moves on Apples part to regain market share. This scenario is further supported by what seems to be a concerted move on the part of publicists to paint an extremely rosy picture of Apple Inc.
Nearly every day, there is some article extolling the invincibility and financial success which Apple is enjoying. This is actually a move that can backfire. Some analysts are pointing out that Apple is even more valuable than the US and some other large companies. This a scenario that might not sit well with the general public, particularly Apples clients, in the aftermath of the downgrading of USA by Standard and Poor.
Well, if a company is making too much money, and can spend millions on court cases across the globe, then some people might think that they are making too much money from their customers. Some customers, particularly those who are feeling the crunch, might take a very serious look at the value for money rating of their machines. On the other hand, it could be that the company is losing market share and it is a desperate move on the part of the publicists to make the company seem more viable and attractive.
There is also another factor which could fast become the straw that broke the camels back. Many consumers are beginning to wake up to the fact that ultimately, they will be the ones to bear the burden of all these lawsuits. It costs money to file a suit and it will cost money when you lose one.
These consumers are smart enough to know that this will end up coming from their pockets. It’s ironic that these should come at a time when the competition has shown decisively that quality products can be produced at prices that are less astronomical. Samsung for one, has made the smartphone and the tablet pc immensely affordable putting it within the reach of average Joe.
But this may not last long because as the litigation costs pile up, and these companies lose money due to the inability to sell their products, the prices of these devices will go up once more.
There are many ways to interpret all these events, but one thing is certain. HTC, Samsung and all the other companies involved are not taking this sitting down. The public has also begun to back some players and their choice does not begin with the letter “A”.
Banning the sale of the Galaxy 10.1 in Europe is clearly the opening salvo in this battle which will definitely change the landscape of technology. An massive upset is imminent and that would pave the way for a new, and hopefully a more sober market place where competition will benefit the consumer, which is the way it should be.