“Every startup and business initiative likes to describe itself as being ‘disruptive,’ that is, an interrupting force that changes the prevailing nature of a given industry, shifting the balance of power and the identity of those making the most money,” Daniel Eran Dilger reports for AppleInsider. “Apple’s iPhone has, since its debut in 2007, had a spectacularly disruptive effect on not only the smartphone market, but has also disrupted the revenues of parallel standalone devices, ranging from personal cameras and camcorders to dedicated game consoles and GPS products.”
“Particularly since 2010, observers who formerly dismissed and underestimated the impact of the iPhone have now jumped to the conclusion that Google’s Android will, is, or perhaps already has had a similarly disruptive effect on Apple’s future prospects, acting as a disruptor of Apple’s disruption,” Dilger reports. “However, as noted in a report by the developers of Intercom, there’s more than one type of disruption, and all forms of disruption aren’t equally valuable, important, or sustainable.”
Dilger reports, “While offering cheaper, low end smartphones is often also described as ‘disruption,’ the value of this ‘low end distribution’ is clearly not as great as Apple’s high end disruption, as evidenced by the fact that Apple earns so much more than the rest of the mobile industry combined… The vast resources at Apple’s disposal make it obvious that, given the choice between earning profits and saturating the market with ‘device shipments’ to gain market share, Apple is explicitly choosing to make money rather than to just set temporary sales records for the likes of IDC and Gartner.”
Much more in the full article – recommended – here.