MOBILE TECHNOLOGIES: GLOBAL MARKETS IFT071A. Anand Joshi Project Analyst ISBN:

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1 MOBILE TECHNOLOGIES: GLOBAL MARKETS IFT071A Anand Joshi Project Analyst ISBN: BCC Research 49 Walnut Park, Building 2 Wellesley, MA , Custom Reports:

2 TABLE OF CONTENTS CHAPTER 1 INTRODUCTION 2 STUDY GOALS AND OBJECTIVES 2 RESEARCH BACKGROUND 2 REPORT SCOPE AND ORGANIZATION 3 TARGET AUDIENCE 3 RESEARCH METHODOLOGY 3 ANALYST CREDENTIALS 4 RELATED BCC REPORTS 4 BCC ON-LINE SERVICES 5 DISCLAIMER 5 CHAPTER 2 SUMMARY 7 SUMMARY TABLE GLOBAL MARKET FOR MOBILE APPLICATIONS BY OPERATING SYSTEM, THROUGH 2018 ($ SUMMARY FIGURE GLOBAL MARKET FOR MOBILE APPLICATIONS BY OPERATING SYSTEM, ($ 7 7 CHAPTER 3 OVERVIEW OF MOBILE PLATFORMS 11 KEY OPERATING SYSTEMS 11 ANDROID 11 BADA 12 BLACKBERRY 12 FIREFOX OS 12 IOS 13 SYMBIAN 14 WINDOWS MOBILE 14 WINDOWS PHONE 15 OPEN-SOURCE DEVELOPMENT 15 TABLE 1 CUMULATIVE NUMBER OF PHONE MODELS AS OF Q TABLE 2 CUMULATIVE NUMBER OF PHONE SHIPMENTS AS OF Q ($ 16 KEY FEATURES OF SMARTPHONES 16 DISPLAY 16 TABLE 3 MAXIMUM DISPLAY SIZE IN SMARTPHONES (INCHES) 17 TABLE 4 PIXEL DENSITY IN POPULAR SMARTPHONES (PIXELS PER INCH) 17 CAMERA 17 TABLE 5 MAXIMUM CAMERA RESOLUTIONS IN POPULAR SMARTPHONES, TO 2012 (MEGA PIXELS) GLOBAL POSITIONING SYSTEM (GPS) 18 MOBILE APPLICATIONS 18 MOBILE APPLICATIONS MARKET 19 TABLE 6 TOTAL NUMBER OF MOBILE APPLICATIONS AVAILABLE, THROUGH 2018 (THOUSANDS) TABLE 7 TOTAL MOBILE APPLICATIONS MARKET, THROUGH 2018 ($ 20 TABLE 8 TOTAL REVENUE GENERATED IN VARIOUS MARKETPLACES, BY PLATFORM, THROUGH 2018 ($ TABLE 9 REVENUE PAID TO DEVELOPERS, BY PLATFORM, AS OF 2013 ($

3 TABLE 10 AVERAGE PRICE PER APPLICATION, BY PLATFORM, THROUGH 2018 ($) 21 TABLE 11 MOBILE APPLICATIONS REVENUE BY REGION, 2013 ($ 21 SMARTPHONE USAGE 22 CHAPTER 4 ANDROID PLATFORM 24 INTRODUCTION 24 TABLE 12 TOTAL NUMBER OF APPLICATIONS AVAILABLE IN THE ANDROID MARKETPLACE, TABLE 13 TOTAL NUMBER OF ANDROID HANDSETS, THROUGH 2018 ($ 25 TABLE 14 TOTAL NUMBER OF ANDROID APPLICATIONS DOWNLOADED, THROUGH 2018 (BILLIONS) ANDROID MARKETPLACE 25 TABLE 15 GOOGLE MARKETPLACE REVENUE, THROUGH 2018 ($ 26 ANDROID SOFTWARE DEVELOPMENT KIT 26 FIGURE 1 ANDROID OPERATING SYSTEM ARCHITECTURE 27 NATIVE DEVELOPMENT KIT 28 HYPERNEXT ANDROID CREATOR 28 LICENSING 28 RECEPTION 29 ANDROID ADAPTATION FOR TABLETS 30 TABLE 16 ANDROID OPERATING SYSTEM VERSIONS AND MARKET SHARE, 2012 (%) 30 ALTERNATE MARKETPLACES 30 POPULAR ANDROID APP STORES 31 Amazon Appstore 31 Appoke 32 F-Droid 32 GetJar 32 SlideME 33 Others 33 ANDROID APPLICATION STATISTICS 33 TABLE 17 TOTAL NUMBER OF APPLICATIONS IN THE ANDROID MARKETPLACE, TABLE 18 APPLICATIONS IN VARIOUS CATEGORIES, 2013 (THOUSANDS/%) 34 TABLE 19 APPLICATIONS BY NUMBER OF DOWNLOADS, 2013 (NUMBER/%) 34 TABLE 20 TOTAL NUMBER OF FREE AND PAID ANDROID APPLICATIONS, 2013 (THOUSANDS/%) TABLE 21 AVERAGE PRICING OF MOBILE ANDROID APPLICATIONS, 2013 (THOUSANDS/%) SELECTED COMPANY PROFILES 36 ACER 36 Recent Developments 36 ASUSTEK 37 Recent Developments 38 GOOGLE 39 Products and Services 40 Advertising 40 Productivity Tools 40 Recent Developments

4 HTC 42 Recent Developments 43 HUWAEI 44 Recent Developments 45 KYOCERA 46 Recent Developments 47 LG 48 Recent Developments 48 MOTOROLA (GOOGLE) 49 Related Products 50 Recent Developments 51 PANTECH 52 Recent Developments 52 SAMSUNG 53 Samsung Electronics Co. Ltd. Profile 53 Samsung Smartphone Sales 54 Recent Developments 54 SONY 55 Recent Developments 56 ZTE 57 Latest Developments 58 CHAPTER 5 IOS 60 INTRODUCTION 60 IPHONE HISTORY 60 TABLE 22 TOTAL IOS-BASED SMARTPHONE SHIPMENTS, THROUGH 2018 ($ IPHONE FEATURES 63 Screen and Input 63 Sensors 64 Proximity Sensor 64 Ambient Light Sensor 65 Accelerometer 65 Magnetometer 65 Gyroscopic Sensor 65 Audio and Output 65 Bluetooth 66 Video Out 66 Battery 66 Camera 67 TABLE 23 COMPARISON OF VARIOUS IPHONE MODELS 67 Storage and SIM 68 Liquid Contact Indicators 69 Included Items 69 IOS FEATURES 70 User Interface 70 Phone Functionality 71 Multimedia 72 63

5 Internet Connectivity 73 Maps 74 Text Input 74 and Text Messages 74 Accessibility 75 IOS SOFTWARE DEVELOPMENT KIT 75 TABLE 24 IOS APPLICATIONS IN THE MARKETPLACE, 76 TABLE 25 IOS TOTAL REVENUE FROM THE MARKETPLACE, THROUGH 2018 ($ TABLE 26 IOS AVERAGE REVENUE PER APPLICATION, THROUGH 2018 ($) 77 TABLE 27 TOTAL PAID OUT TO DEVELOPERS BY APPLE AS OF 2013 ($ 77 IOS SOFTWARE DEVELOPMENT KIT (SDK) HISTORY 77 Software Development Kit (SDK) Contents 78 Licensing 78 APPLE VERSUS ANDROID 78 TABLE 28 COMPARISON OF IOS AND ANDROID MARKETPLACE 79 In-built Applications 79 Policies 79 Developers 80 Access 80 Average Time Spent per Day on Applications 80 SELECTED COMPANY PROFILES 81 APPLE Debut of the Macintosh 82 TABLE 29 APPLE REVENUE BY DECADE, 1977 TO PRESENT ($ MILLIONS/$ BILLIONS) 87 Recent Developments 87 FOXCONN 89 Recent Developments CHAPTER 6 WINDOWS PHONE 92 WINDOWS PHONE 7 AND 8 92 HARDWARE SUPPORT 92 TABLE 30 TOTAL WINDOWS PHONE OPERATING SYSTEM PHONE SHIPMENTS, THROUGH 2018 ($ TABLE 31 WINDOWS PHONE SHIPMENT BY OPERATING SYSTEM VERSION, 2013 ( KEY FEATURES OF THE OPERATING SYSTEM (OS) 93 User Interface 93 Text Input 94 Messaging 94 Web Browser 94 Contacts Multimedia 95 Media Support 96 Games 96 Search 96 Office Suite

6 Multitasking 97 Sync 97 Updates 97 Advertising Platform 98 WINDOWS PHONE APP STORE 98 Music and Videos 98 Applications and Games Development 98 Submission 99 ORIGINAL EQUIPMENT MANUFACTURERS (OEMS) DEVELOPING WINDOWS PHONES TOTAL MARKET FOR WINDOWS APPLICATIONS 100 TABLE 32 TOTAL NUMBER OF APPLICATIONS IN WINDOWS PHONE APP STORE, TABLE 33 TOTAL APP STORE REVENUE, THROUGH 2018 ($ 100 TABLE 34 TOTAL PAID OUT TO DEVELOPERS, AS OF 2013 ($ 101 TABLE 35 TOTAL REVENUE PER APPLICATION, THROUGH 2018 ($) 101 SELECTED COMPANY PROFILES 101 NOKIA 101 Subsidiaries 102 Nokia Siemens Networks 103 Recent Developments 103 MICROSOFT 104 Product Divisions 105 Financials 106 Recent Developments 106 SAMSUNG 107 Samsung Electronics Co. Ltd. Profile 108 Samsung Smartphone Sales 108 Recent Developments 109 HTC 110 Recent Developments 111 LG 112 Recent Developments 112 ACER 113 Recent Developments CHAPTER 7 BLACKBERRY 116 BLACKBERRY OPERATING SYSTEM (OS) 116 TABLE 36 VARIOUS BLACKBERRY OPERATING SYSTEM (OS) VERSIONS 117 TABLE 37 SUPPORTED SMARTPHONES ON VARIOUS BLACKBERRY OPERATING SYSTEM (OS) VERSIONS BLACKBERRY BlackBerry 10 Key Features 119 Gestures 119 Multitasking 119 BlackBerry Hub 119 BlackBerry Balance 120 Time Shift Camera

7 BlackBerry Messenger Video 120 Android Player 120 Keyboard 120 Voice Control 120 BlackBerry Link 121 Included Applications 121 Third-Party Application 121 Distribution 121 Devices 121 TABLE 38 BLACKBERRY 10-BASED SMARTPHONES 121 APPLICATION DEVELOPMENT STRATEGY 122 IMPACT OF THE APPLE IPHONE 122 IMPACT OF GOOGLE ANDROID 123 TABLE 39 BLACKBERRY OPERATING SYSTEM (OS) SMARTPHONE SHIPMENT, THROUGH 2018 ($ TABLE 40 TOTAL NUMBER OF APPLICATIONS IN BLACKBERRY MARKETPLACE, TABLE 41 TOTAL REVENUE PAID OUT TO DEVELOPERS, THROUGH 2018) ($ TABLE 42 TOTAL REVENUE PAID OUT TO DEVELOPERS AS OF 2013 ($ 124 TABLE 43 AVERAGE REVENUE PER APPLICATION, THROUGH 2018 ($) 125 TABLE 44 TOTAL NUMBER OF APPLICATIONS DOWNLOADED FROM BLACKBERRY MARKETPLACE, THROUGH 2018 ($ COMPANY PROFILES 125 BLACKBERRY (FORMERLY RESEARCH IN MOTION) 125 Company History 126 Financials 127 Recent Developments 128 WISTRON CHAPTER 8 SOFTWARE APPLICATIONS ON MOBILE PLATFORMS 131 SOFTWARE DEVELOPMENT METHODOLOGY 131 FIGURE 2 SOFTWARE DEVELOPMENT CYCLE AND METHODOLOGY IN A TYPICAL MOBILE ENVIRONMENT TABLE 45 PLATFORM-SPECIFIC DEVELOPMENT ENVIRONMENT 132 MONETIZATION 132 Trial Period 132 Affiliate Marketing 132 In-App Purchasing 133 Advertising 133 TOP-GROSSING CATEGORIES 133 TABLE 46 TOP-GROSSING MOBILE APPLICATION CATEGORIES, 2013 (% OF REVENUE) SELECTED APPLICATIONS 133 TABLE 47 SOME OF THE POPULAR MOBILE APPLICATIONS AND VENDORS 134 Words with Friends 134 Angry Birds Free 134 Sudoku 134 Facebook

8 Skype 135 Evernote 135 SELECTED COMPANY PROFILES 135 ADOBE SYSTEMS 135 ELECTRONIC ARTS 136 EVERNOTE 136 GAMELOFT 138 KABAM 138 PANDORA 139 ROVIO 140 SEGA 140 UBISOFT ENTERTAINMENT 141 WHATSAPP 141 ZYNGA 142 CHAPTER 9 PATENT ANALYSIS 145 MOBILE SOFTWARE PATENTS 145 TABLE 48 NUMBER OF U.S. PATENTS AWARDED FOR MOBILE APPLICATIONS, (NUMBER OF PATENTS) TABLE 49 NUMBER OF U.S. PATENTS AWARDED FOR MULTIMEDIA TECHNOLOGY FOR ANDROID AND IOS, (NUMBER OF PATENTS) TABLE 50 NUMBER OF U.S. PATENTS AWARDED TO SELECTED COMPANIES FOR MULTIMEDIA TECHNOLOGY, (NUMBER OF PATENTS) TABLE 51 NUMBER OF U.S. PATENTS AWARDED TO SELECTED COUNTRIES FOR MULTIMEDIA TECHNOLOGY, (NUMBER OF PATENTS)

9 LIST OF TABLES TABLE HEADING SUMMARY TABLE GLOBAL MARKET FOR MOBILE APPLICATIONS BY OPERATING SYSTEM, THROUGH 2018 ($ TABLE 1 CUMULATIVE NUMBER OF PHONE MODELS AS OF Q TABLE 2 CUMULATIVE NUMBER OF PHONE SHIPMENTS AS OF Q ($ 16 TABLE 3 MAXIMUM DISPLAY SIZE IN SMARTPHONES (INCHES) 17 TABLE 4 PIXEL DENSITY IN POPULAR SMARTPHONES (PIXELS PER INCH) 17 TABLE 5 MAXIMUM CAMERA RESOLUTIONS IN POPULAR SMARTPHONES, TO 2012 (MEGA PIXELS) TABLE 6 TOTAL NUMBER OF MOBILE APPLICATIONS AVAILABLE, THROUGH 2018 (THOUSANDS) TABLE 7 TOTAL MOBILE APPLICATIONS MARKET, THROUGH 2018 ($ 20 TABLE 8 TOTAL REVENUE GENERATED IN VARIOUS MARKETPLACES, BY PLATFORM, THROUGH 2018 ($ TABLE 9 REVENUE PAID TO DEVELOPERS, BY PLATFORM, AS OF 2013 ($ 20 TABLE 10 AVERAGE PRICE PER APPLICATION, BY PLATFORM, THROUGH 2018 ($) 21 TABLE 11 MOBILE APPLICATIONS REVENUE BY REGION, 2013 ($ 21 TABLE 12 TOTAL NUMBER OF APPLICATIONS AVAILABLE IN THE ANDROID MARKETPLACE, TABLE 13 TOTAL NUMBER OF ANDROID HANDSETS, THROUGH 2018 ($ 25 TABLE 14 TOTAL NUMBER OF ANDROID APPLICATIONS DOWNLOADED, THROUGH 2018 (BILLIONS) TABLE 15 GOOGLE MARKETPLACE REVENUE, THROUGH 2018 ($ 26 TABLE 16 ANDROID OPERATING SYSTEM VERSIONS AND MARKET SHARE, 2012 (%) 30 TABLE 17 TOTAL NUMBER OF APPLICATIONS IN THE ANDROID MARKETPLACE, TABLE 18 APPLICATIONS IN VARIOUS CATEGORIES, 2013 (THOUSANDS/%) 34 TABLE 19 APPLICATIONS BY NUMBER OF DOWNLOADS, 2013 (NUMBER/%) 34 TABLE 20 TOTAL NUMBER OF FREE AND PAID ANDROID APPLICATIONS, 2013 (THOUSANDS/%) TABLE 21 AVERAGE PRICING OF MOBILE ANDROID APPLICATIONS, 2013 (THOUSANDS/%) TABLE 22 TOTAL IOS-BASED SMARTPHONE SHIPMENTS, THROUGH 2018 ($ TABLE 23 COMPARISON OF VARIOUS IPHONE MODELS 67 TABLE 24 IOS APPLICATIONS IN THE MARKETPLACE, 76 TABLE 25 IOS TOTAL REVENUE FROM THE MARKETPLACE, THROUGH 2018 ($ TABLE 26 IOS AVERAGE REVENUE PER APPLICATION, THROUGH 2018 ($) 77 TABLE 27 TOTAL PAID OUT TO DEVELOPERS BY APPLE AS OF 2013 ($ 77 TABLE 28 COMPARISON OF IOS AND ANDROID MARKETPLACE 79 TABLE 29 APPLE REVENUE BY DECADE, 1977 TO PRESENT ($ MILLIONS/$ BILLIONS) 87 TABLE 30 TOTAL WINDOWS PHONE OPERATING SYSTEM PHONE SHIPMENTS, THROUGH 2018 ($ TABLE 31 WINDOWS PHONE SHIPMENT BY OPERATING SYSTEM VERSION, 2013 ( TABLE 32 TOTAL NUMBER OF APPLICATIONS IN WINDOWS PHONE APP STORE, TABLE 33 TOTAL APP STORE REVENUE, THROUGH 2018 ($ 100 TABLE 34 TOTAL PAID OUT TO DEVELOPERS, AS OF 2013 ($

10 TABLE HEADING TABLE 35 TOTAL REVENUE PER APPLICATION, THROUGH 2018 ($) 101 TABLE 36 VARIOUS BLACKBERRY OPERATING SYSTEM (OS) VERSIONS 117 TABLE 37 SUPPORTED SMARTPHONES ON VARIOUS BLACKBERRY OPERATING SYSTEM (OS) VERSIONS TABLE 38 BLACKBERRY 10-BASED SMARTPHONES 121 TABLE 39 BLACKBERRY OPERATING SYSTEM (OS) SMARTPHONE SHIPMENT, THROUGH 2018 ($ TABLE 40 TOTAL NUMBER OF APPLICATIONS IN BLACKBERRY MARKETPLACE, TABLE 41 TOTAL REVENUE PAID OUT TO DEVELOPERS, THROUGH 2018) ($ TABLE 42 TOTAL REVENUE PAID OUT TO DEVELOPERS AS OF 2013 ($ 124 TABLE 43 AVERAGE REVENUE PER APPLICATION, THROUGH 2018 ($) 125 TABLE 44 TOTAL NUMBER OF APPLICATIONS DOWNLOADED FROM BLACKBERRY MARKETPLACE, THROUGH 2018 ($ TABLE 45 PLATFORM-SPECIFIC DEVELOPMENT ENVIRONMENT 132 TABLE 46 TOP-GROSSING MOBILE APPLICATION CATEGORIES, 2013 (% OF REVENUE) 133 TABLE 47 SOME OF THE POPULAR MOBILE APPLICATIONS AND VENDORS 134 TABLE 48 NUMBER OF U.S. PATENTS AWARDED FOR MOBILE APPLICATIONS, (NUMBER OF PATENTS) TABLE 49 NUMBER OF U.S. PATENTS AWARDED FOR MULTIMEDIA TECHNOLOGY FOR ANDROID AND IOS, (NUMBER OF PATENTS) TABLE 50 NUMBER OF U.S. PATENTS AWARDED TO SELECTED COMPANIES FOR MULTIMEDIA TECHNOLOGY, (NUMBER OF PATENTS) TABLE 51 NUMBER OF U.S. PATENTS AWARDED TO SELECTED COUNTRIES FOR MULTIMEDIA TECHNOLOGY, (NUMBER OF PATENTS)

11 LIST OF FIGURES FIGURE TITLE SUMMARY FIGURE GLOBAL MARKET FOR MOBILE APPLICATIONS BY OPERATING SYSTEM, ($ FIGURE 1 ANDROID OPERATING SYSTEM ARCHITECTURE 27 FIGURE 2 SOFTWARE DEVELOPMENT CYCLE AND METHODOLOGY IN A TYPICAL MOBILE ENVIRONMENT 7 131

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