Android Competitors Could Knock the iPhone 3GS From Mobile’s Top Spot

Apple’s second quarter results are in, and they’re just as impressive as one might expect. The Silicon Valley technology giant enjoyed 41.7 percent margins across the quarter, seeing massive growth in iPhone sales and converting many ex-PC users to their platform. Total iPhone sales increased over 130 percent from 2009, making the iPhone 3GS the world’s most popular smartphone.

However, while the iPhone appears to be the winner in the global smartphone race – at least in terms of units sold – it’s facing increasing heated competition from rivals HTC and Sony Ericsson, two manufacturers embracing Google’s Android phone operating system. Android handsets have seen a huge increase in sales across the last two quarters, gaining ground on Apple’s ultra-popular mobile phone.

Relations between Apple and Google have heated up in 2010, which the two technology giants fighting a patent war surrounding mobile phone touchscreen technology and operating system features. While CEOs Steve Jobs and Eric Schmidt remain in touch, public words between the two companies have bordered on aggression.

Google’s February press release noted an impressive increase in Android phone sales – over 60,000 Android-enabled mobile phones ship daily. When compared to early sales of Apple’s original iPhone, the success of Android is quite clear. Industry analysts believe that sales of Android handsets could soon rival those from rival RIM’s Blackberry devices – a line of popular business phones.

While Google manufacture no mobile handset of their own, the potential income from mobile advertising has made Android a potentially profitable operating system. Profits (and revenue) from Android are currently limited, although as the operating system gains users it appears that mass marketers may embrace Google’s mobile phone advertising options. Apple’s iAd system – due for release later this year – aims to capture the same mobile advertising market.

Related posts: