Apple has already removed Google as the default App for maps and directions (they replaced it with one designed from TomTom. Although Apple did wait until their license deal with Google was up it still seemed a little odd in the way they chose to push off from Google in the manner they did. Now we are hearing that Apple is also going to stop including the stock YouTube app as well. Again Apple waited until their license expired and are choosing not to renew. Google has already stated that they will more than likely have an app that can be downloaded through the iTunes App Store, but you will just not find it on your iPhone or iPad out of the box in iOS 6.
On top of this Apple is slowly stopping their dependence on Samsung parts. They have been working with new partners for RAM, Displays and other parts for the iPhone, iPad and even their MacBook line. Apple knows that no matter the outcome of their current trial they are unlikely to get warm welcomes from either company. The tactics that Apple has used in the media (who for some reason seem to view anything done by Apple as gold) and in the courtroom have burned too many bridges for them to think that they can keep up their relationships with Samsung and Google.
The problem for Apple is that there are not that many companies with the manufacturing capacity and diversity that Samsung has. They will have to shop around to multiple companies for these pieces and parts which is not new to the company, but is probably a pain for them. One of their new vendors is Sharp who has some serious revenue issues right now and have even gone so far as to openly talk about their deal with Apple for screens for the next generation iPhone. They are sure to also push for a new vendor for memory (they already own Imagination so their GPU is secure).
We said some time ago that Apple’s insistence on war with Android would hurt them in the long run and we could possibly start to see some of this fallout this year. The ground that Apple is on in court is starting to slide; their idea of consumer confusion is falling apart as their expert witnesses are looking more like fools that experts. Two of the witnesses that Apple thought would be a slam dunk have come off looking very bad. This is because Apple wants to try and win from both sides; the details and the Broad look. They have had their own designers say that the details are what set designs apart, one expert witness claim that he was trained to spot details and then complain when asked to talk about many details he missed. This was followed by a former Apple employee who is supposed to be an expert on graphical design, but could not tell two designs apart. We know that Apple’s intent with these witnesses was to show that “if the Experts cannot tell, how can the consumer”, but it really just made the experts look silly which was something that Apple surely did not intend.
The rest of 2012 and H1 of 2013 will be very interesting for Apple. They have a ton of cash to keep going and they are sure to find other partners to work with, but this case will surely have an impact on consumer perception of Apple. This is one area that Apple tries to control as much as they can and it is slowly slipping away as their habits and methods get exposed during this trial. We wonder if Foxconn is worried as well, after all Apple is one of their most profitable clients and even owns part of Apple’s new screen maker Sharp…
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