Profile: Jeremy Gilley

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iPad and Facebook will end Google’s dominance

Google’s online dominance could be drawing to an end, warn analysts, as the Apple iPad goes on-sale in the UK.

iPad

Technology and media analyst, Richard Holway, speaking yesterday at a presentation hosted by Affiliate Window, says that Google will be superseded by apps for devices such as the iPhone, iPad and Facebook.

He says apps and Facebook will block out Google because they subvert using Google’s sponsored search by going directly to brands and media owners.

It comes as Apple overtakes rival Microsoft in market value. Apple is now valued at £153bn while Microsoft is valued at £151bn.

Affiliate Window managing director Mark Walters, says the launch of the iPad marks a “changing point” and will change the way consumers interact with digital media.

He adds that because “everybody feels as though it’s aimed at them” brand owners across every sector should be looking at how they can use the iPad to offer consumers a service.

Media publishers have said that the challenge they face is how to monetise apps for iPhone and iPad.

Holway says that as the model has changed, publishers must change with it.

He adds: “What happened to the music industry with iPod and MP3 players is now happening to publishing. Media publishers need to find a new model, because advertising and subscriptions wont work.”

Wired magazine editor David Rowan, who is also speaking at Marketing Week Live on the centre stage (29 - 30 June), agrees.

“Advertising is on the way out,” he adds. He believes advertising to consumers is being replaced by engagement through apps and social networks such as Facebook.

Readers' comments (5)

  • I think Mr Holway is getting a bit too dazzled and excited about his shiny new iPad.

    Within a couple of years nearly every phone sold will be, to some extent, a "smartphone" even at the bottom end of the market and they'll mostly be running Android not anything by Apple.

    Android is a Google product.

    Same with tablet PCs, there are already a huge number of cheaper (and very good) devices about to come onto the market and again a lot of them are running Android. They will sell more than the iPad within a few years.

    So while Apple may block Google access on a limited number of high-end products/users they will eventually have more direct influence on most of the non-Apple devices in circulation.

    Google will dominate the mass-market, Apple will return to being a premium niche-player.

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  • I have to agree strongly with Sam's comment. While Apple may be dazzling everyone in the world at the moment with the iPad and its shiny apps, the fact of the matter is that A) Much of the world (especially developing countries) still do not use smartphones, let alone an iPad/any other type of tablet; and B) Apple's walled-off garden system of apps and only allowing certain features (e.g. no Flash from competitor Adobe) is akin to AOL's dramatic rise in the mid-1990s for consumer-based Internet access, and then equally impressive crash to near-oblivion in the 2000s, as people suddenly realized that having freedom to roam the Web however we want is far more impressive and valuable than to have a semi-cool homepage that tells us when we have new e-mails.

    That's similar to Apple's current situation: apps represent the walled-off garden, as they are shiny and cool now, but how Apple has set up its system limits user interaction within other platforms and other apps. And if there is anything the last 15 years of the Internet have shown us, it is that consumers exceedingly want to socialize and interact with friends around other forms of content and across multiple platforms, not just within one device or app, such as on the iPad.

    Keith Trivitt

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  • Ipad = Fad, and one I imagine will be shortly recognised by the industry and more importantly the consumers. With Apple having such a strong brand the consumers oversee the short comings.

    Nothing mentioned about Android in the article which is already making waves in the industry and nothing about Google OS?!

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  • Rosie, what amazing tosh you write. The Wired app on the iPad is rated as one of the most hideous examples of bad conversion from print to online.

    http://interfacelab.com/is-this-really-the-future-of-magazines-or-why-didnt-they-just-use-html-5

    Yet you quote the managing editor of the same publication as saying that apps are the way of the future of engaging consumers.

    Are you sure he has a clue what he's talking about?

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  • To me this seems like the rush to make a company website back in the day, even companies that didn't need websites made them.
    Now its the same with Apps.
    I'm sure this will be a pretty short fad.

    Obviously Google have a massive amount of power and with that I'm sure that they will not fade like AOL.

    iPad is a bit of a fad as well, you still need a computer to make it work and there's no USB ports so why would i be paying the £500 for a shiny half laptop, when i could buy a much more versatile laptop?

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