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320 Part Two Information Technology Infrastructure

SkyDrive cloud storage service. Microsoft launched its Sources: Nick Wingfield, “Apple Case Muddies the Future of
Surface tablet computers around the same time as the Innovations,” The New York Times, August 27, 2012; Michael Vizard,
“The Path of Least Mobile Computing Resistance”, Channel Insider.
launch of the Windows 8 operating system.
com, June 6, 2012; Reuters, “Apple Versus Google War Heats
The struggle between Apple, Google, and Up,” June 9, 2012; “Microsoft Counting on Office 2013 to Retain
Microsoft wouldn’t matter much if there wasn’t Enterprise App Dominance,” CIO Insight, July 18, 2012; John
so much potential money at stake. Billions of dol- Letzing and Amir Efrati, “Google’s New Role as Gadget Maker,”
The Wall Street Journal, June 28, 2012; Nick Wingfield, “With Tablet,
lars hang in the balance, and the majority of that
Microsoft Takes Aim at Hardware Missteps,” The New York Times,
money will come from advertising. App sales are June 24, 2012; Jessica Vascellaro, “Apple and Google Expand Their
another important component, especially for Apple. Battle to Mobile Maps,” The Wall Street Journal, June 4, 2012; Amir
Apple has the edge in selection and quality of apps, Efrati and Spencer E. Ante, “Google’s $12.5 Billion Gamble,”
The Wall Street Journal, August 16, 2011; Evelyn M. Rusli, “Google’s
but while sales have been brisk, developers have
Big Bet on the Mobile Future,” The New York Times, August 15,
complained that making money is too difficult. 2011; Claire Cain Miller, “Google, a Giant in Mobile Search, Seeks
Roughly a quarter of the apps available in the App New Ways to Make It Pay,” The New York Times, April 24, 2011;
Store are free, which makes no money for developers Brad Stone and Miguel Helft, “Apple’s Spat with Google Is Getting
or for Apple, but it does bring consumers to the Personal,” The New York Times, March 12, 2010; and Peter Burrows,
“Apple vs. Google,” BusinessWeek, January 14, 2010.
Apple marketplace where they can be sold other
apps or entertainment services. CASE STUDY QUESTIONS
The three-way struggle between Microsoft,
1. Compare the business models and areas of
Apple, and Google really has no precedent in the
strength of Apple, Google, and Microsoft.
history of computing platforms. In early contests,
it was typically a single firm that rode the crest 2. Why is mobile computing so important to these
of a new technology to become the dominant three firms? Evaluate the mobile platform
offerings of each firm.
player. Examples include IBM’s dominance of the
mainframe market, Digital Equipment’s domi- 3. What is the significance of mobile applications,
nance of minicomputers, Microsoft’s dominance of app stores, and closed vs. open app standards to
operating systems and PC productivity applications, the success or failure of mobile computing?
and Cisco’s dominance of the Internet router market. 4. Which company and business model do you think
In the current struggle, three firms are trying to will prevail in this epic struggle? Explain your
dominate the customer experience on the Internet. answer.
Each firm brings certain strengths and weaknesses 5. What difference would it make to a business or to
to the fray. It’s too early to tell if a single firm will an individual consumer if Apple, Google, or
“win,” or if all three can survive the contest for the Microsoft dominated the Internet experience?
consumer Internet experience. Explain your answer.

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