Google’s persistent effort to acquire Samsung’s software market seemingly came to an end as their new mobile apps deal put the Korean tech giant on the fence. Recent report from Reuters correspondent has shown the result of years-long wait for Google to finally push Samsung to drop their virtual assistant Bixby and Galaxy App Store from their mobile devices.
As the replacement, the entire services from both software will be fully handed to Google Assistant and Play Store. Both companies are in close negotiations on their new global revenue-sharing deal which should be finalised before the second week of August. What’s behind Google never-ending negotiations with Samsung?
Interestingly, this has been seen coming from Google as Samsung is steadily leading the global market share for smartphones with 21.2% or accounts for 58.4 million units in Q1 2020 based on statistics by IDC. The skyrocketing chart for the vendor was contributed nonetheless by their flagship 5G Galaxy S20 line and Galaxy Fold launched last March.
With this promising potential, Google hopes to strengthen its dominance within the software service business by making sure the top distributor for mobiles devices is on their deck. Should the negotiation close in the search giant’s favour, then Samsung users might be saying goodbye to Bixby and Galaxy App Store before the year ends.
Favourable terms from Google
Although the news sounds surprising, both Samsung and Google have not yet decided to give any confirmations on the report. “Like all Android device makers, Samsung is free to create its own app store and digital assistant,” a Google spokesperson said in an email statement sent to Bloomberg.
This means that Google is simply aiming to integrate their system to provide better service for the users with their superior software compared to Bixby that met underwhelming responses despite various updates throughout the years. “Samsung remains committed to our own ecosystem and services,” in a follow-up statement by the company’s spokesperson sent to Bloomberg.
Why the consideration?
While Samsung still led the statistics for smartphone market share in Q1 2020, the number plummeted far behind target with 275.8 million shipments compared to the previous period Q4 2019 with shipments over 368.8 as reported by IDC research.
As the Covid-19 collapsed the global economy, and so did the demand for handset sales has dropped significantly, and this forced Samsung to count for alternative revenue sources. Consideration continues from Samsung as the web giant is proposing a more lucrative financial deal and partnership terms that are unfortunately still under determination until official release from the company in a source from Reuters.
Consumers shall wait to see the output from the negotiation soon enough that hopefully it should always prioritise users’ experience in its core.