Track the companies that matter to you. It's FREE! Click one of these fan favorites to get started: Apple; Google; Ford.



Google Is Claiming Emerging Markets with This Innovative Android Feature

Watch stocks you care about

The single, easiest way to keep track of all the stocks that matter...

Your own personalized stock watchlist!

It's a 100% FREE Motley Fool service...

Click Here Now

Google  (NASDAQ: GOOG  ) (NASDAQ: GOOGL  )  is often criticized for the sub-par user-experience and the security issues of the Android devices. Android fragmentation , i.e. divergent variants of Android, results in the inability of some devices to properly run the apps written in the Android's software development kit, and hence the criticism.


Google recently announced the Google-one initiative. The company will be able to control the set of hardware and software standards in the low-end of the smart-phone market. The result would be a less-fragmented Android, enabling a complete Android experience along with a low-level of security threats across devices. This is just the tip of the iceberg though. The detailed implications follow below, but first, what is the Android-one initiative?

The initiative
Google is basically saving OEMs of the headache to design the hardware. Google will design the reference hardware and the OEMs will just manufacture the phone. On the software side, the Android-one smartphones will feature the latest stock Android, and they will also receive timely updates from Google. In a nutshell, Google is planning to control the hardware and the software standards. Google is working with the local Indian manufacturers like Micromax to develop sub-$100 phones in a hope to push the Android-one phones into the emerging Indian market. These phones will feature a 4.5" screen, dual-sim, and an FM radio.

 Picture credit: BGR

As Google is designing the hardware, OEMs will save the cost and the time consumed on the hardware design. This will obviously enable them to offer lower-cost smart-phones. But unlike the current cheap Android phones, which run on outdated Android, the Android-one phones will run on the latest Android. The low-cost, latest Android combination is promising for the growth of Google's mobile OS. We already witnessed the success of this combination in the form of the Moto G and the Moto E.

The fragmentation of Android, as we know it, will end. The growth of the Android-one phones will increase the share of the latest Android in the total installed Android-base. The high-end phones already feature the latest Android. Fragmentation comes from the low-end, cheap-devices market. Google-one aims to eliminate the fragmentation from the cheap devices. This will result in a more homogeneous Android across different ends, and as a result, Android will be more secure due to the timeliness of security updates across devices.

Fragmentation also creates problems for the developers. It is quite challenging and time consuming to develop a single app for different variants of Android. These apps usually don't work smoothly across different variants. The end of fragmentation will resolve this problem. The apps will be bug-free on a consistent basis, which was Apple's competitive advantage until now.

As far as Google is concerned, the company will increase its Android footprint in the emerging markets due to the Android-one. Microsoft  (NASDAQ: MSFT  )  is pushing its services through Nokia X in the emerging markets and it is a threat to the footprint of Google's services. Nokia X currently has the advantage of a much better OS experience as compared to the cheap Android phones. However, Google is going to change that with the latest stock Android pre-installed on cheap Android-one devices. The Nokia X threat is neutralized to some extent as a result of the Android-one initiative.

Bottom line
The Android-one initiative is set to kill many birds with one stone. Google's reference design will result in low-cost Android phones. Fragmentation will be minimized resulting in a less vulnerable Android, thus addressing the sole-objection of the Apple fan-boys. The apps will be more consistent and bug-free with Apple's competitive advantage in the app store department being lost. Google also addresses the Nokia X problem with the launch of Android-one, thereby restoring the growth prospects of its services in the emerging markets. All in all, Google's is poised to take the lion's share of "the next billion" smart-phone users.

Leaked: Apple's next smart device (warning, it may shock you)
Apple recently recruited a secret-development "dream team" to guarantee its newest smart device was kept hidden from the public for as long as possible. But the secret is out, and some early viewers are claiming its everyday impact could trump the iPod, iPhone, and the iPad. In fact, ABI Research predicts 485 million of this type of device will be sold per year. But one small company makes Apple's gadget possible. And its stock price has nearly unlimited room to run for early-in-the-know investors. To be one of them, and see Apple's newest smart gizmo, just click here!


Read/Post Comments (1) | Recommend This Article (1)

Comments from our Foolish Readers

Help us keep this a respectfully Foolish area! This is a place for our readers to discuss, debate, and learn more about the Foolish investing topic you read about above. Help us keep it clean and safe. If you believe a comment is abusive or otherwise violates our Fool's Rules, please report it via the Report this Comment Report this Comment icon found on every comment.

Add your comment.

Sponsored Links

Leaked: Apple's Next Smart Device
(Warning, it may shock you)
The secret is out... experts are predicting 458 million of these types of devices will be sold per year. 1 hyper-growth company stands to rake in maximum profit - and it's NOT Apple. Show me Apple's new smart gizmo!

DocumentId: 3011192, ~/Articles/ArticleHandler.aspx, 8/31/2015 10:01:25 PM

Report This Comment

Use this area to report a comment that you believe is in violation of the community guidelines. Our team will review the entry and take any appropriate action.

Sending report...

Sid A.

Soid Ahmad is affiliated with the Association of Chartered Certified Accountants. He graduated from Oxford Brookes University, and he is an investment analyst by profession. He closely follows several technology industries. You can follow Soid on

Today's Market

updated 45 minutes ago Sponsored by:
DOW 16,528.03 -114.98 -0.69%
S&P 500 1,972.18 -16.69 -0.84%
NASD 4,776.51 -51.82 -1.07%

Create My Watchlist

Go to My Watchlist

You don't seem to be following any stocks yet!

Better investing starts with a watchlist. Now you can create a personalized watchlist and get immediate access to the personalized information you need to make successful investing decisions.

Data delayed up to 5 minutes

Related Tickers

8/31/2015 3:59 PM
GOOG $618.25 Down -12.13 -1.92%
Google (C shares) CAPS Rating: ****
GOOGL $647.82 Down -11.87 -1.80%
Google (A shares) CAPS Rating: ****
MSFT $43.52 Down -0.41 -0.93%
Microsoft CAPS Rating: ***