02 November 2012

Google Releases the Nexus 4

A few days ago, Google released the Nexus 4 smartphone and the Nexus 10 tablet. These can simply be purchased online via Google (just click on "Play").

The Google Nexus 4 is now made by LG and has a quad-core processor, a 4.7 inch screen, 2 GB of RAM, 2100 mAh of battery capacity, and a 320 ppi screen. If these numbers mean nothing to you, the bottom line is that this phone is brilliant. It is fast, powerful, and the display is excellent. Compared to, say, the Apple iPhone 5 made by Hon Hai Precision Industries, the Nexus 4 is about two times better according to most performance metrics. For example, the iPhone 5 has a dual core-process, only 1 GB of RAM, a 4 inch screen, and 1440 mAh battery capacity. The iPhone 5 still continues to have excellent screen resolution at 326 ppi.

However, Apple's iPhone 5 cost around $800 to buy outright. The Nexus 4 only costs $350.

Why in the world would Apple create a clearly inferior phone and charge high amounts for it?

Apple's business model is completely different to Google's. Google wants as many people using its Android phone operating system as possible so that users will continue to use Google. This allows Google to make money from advertising. Apple's business model, however, is a traditional business model that focuses on keeping costs low by making sure hardware is cheap (hence the weaker hardware) but making sure demand is high through excellent marketing and reliance on brand loyalty.

Apple's brand loyalty is such that it can get away with taking a mediocre product, slapping an aluminium case with a shiny Apple logo on the back, and double the price.

There are only two main problems I can think of with the Nexus 4: the first is the phone only has normal 3G data transfer speed whereas phones like the Samsung Galaxy S3, Galaxy Note 2, and iPhone 5 have 4G LTE; and the second problem is that, unlike the Samsung Galaxy Note 2, the phone does not an in-built stylus. The number one phone at the moment, therefore, is the Samsung Galaxy Note 2.

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