Apple and Google – they’re a 15 minute drive away from each other in Silicon Valley, but they’re not as close as they used to be.
When Apple CEO Steve Jobs introduced the iPhone three years ago, he called Google an important partner, saying the two companies think similarly. Since then, they’ve increasingly become competitors – first in smartphones when Google announced the Android OS, then in mobile advertising, and later this year, in both music and TV.
The TV market is the latest front in this simmering rivalry. Each company has its vision for bringing Internet convenience and software simplicity to the tube – and their latest efforts will greet consumers this fall.
Apple’s approach : Apple TV, a $99 box for streaming TV and movies. This is iTunes for the HD screen – mainly a rental model for video. If it catches on, some profits would come from selling Apple TV devices, but the biggest benefit would probably come from driving new demand for Apple TV-compatible iPhones, iPods and iPads.