This Day On The Street
Continue to site right-arrow
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here
TheStreet Open House

Apple Faces Real Competition, and It's Not Microsoft

NEW YORK ( TheStreet) -- While Steve Ballmer feebly attempts to justify years of mismanagement at Microsoft (MSFT - Get Report), Google (GOOG) continues to execute its not-so-sneaky end-around that could ultimately force Ballmer out of a job and finally provide competition for Tim Cook at Apple (AAPL - Get Report).

Google introduced Chromebook Pixel on Thursday. In and of itself, that's not a big deal. This device will not change the game. It will not stop very many, if any, MacBook purchases from happening, though it, along with Google's less expensive line of laptops, will eventually gain traction against PCs, particularly ultrabooks.

Matt Baxter-Reynolds wrote an interesting article for ZDNet where he basically argues that Google released what he considers flawed products -- the $1,299 and $1,449 Pixels -- just to get people talking about Chromebooks. Reynolds claims Google has already seen success with this odd strategy because of what he perceives as an ubiquitous buzz generated by the Chromebook Pixel's release.

Clarification: Tech geeks and their sympathizers are talking about Chromebooks. As for the rest of the population, they either do not know or can faintly recall that they even exist. If Google wanted to pique the masses' interests, it could have used its firepower to do something less convoluted and more creative than purposely producing something that's not very good.

TheStreet contributor Anton Wahlman thinks the Pixel is another piece of the puzzle that will put Microsoft and Apple out of business. He makes the market share argument, predicting the same type of growth over a five-year period for Chromebooks as we saw with Android-based smartphones.

As usual, what will happen likely situates somewhere closer to the middle.

What Google is doing makes sense. It's creating the type of hardware and software/services ecosystem Ballmer was never able to and will never be able to create with Windows. And it has the opportunity to create a better ecosystem than Apple's. There's no doubt that Google has done a better job positioning its seamless productivity/services/social/entertainment suite than Apple has. And now -- with its hardware strategy becoming clearer -- Google is on the verge of putting it all together.

Microsoft doesn't need help dying; it will kick off just fine on its own. Google will merely give it an additional push.

As it stands, Apple has no meaningful competition, but it needs some. And Google looks ready to provide it across spaces.

-- Written by Rocco Pendola in Santa Monica, Calif.

Rocco Pendola is TheStreet's Director of Social Media. Pendola's daily contributions to TheStreet frequently appear on CNBC and at various top online properties, such as Forbes.

Check Out Our Best Services for Investors

Action Alerts PLUS

Portfolio Manager Jim Cramer and Director of Research Jack Mohr reveal their investment tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
Quant Ratings

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
Stocks Under $10

David Peltier uncovers low dollar stocks with serious upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
14-Days Free
Try it NOW
Only $9.95
Try it NOW
14-Days Free
Try it NOW

Check Out Our Best Services for Investors

Dividend Stock Advisor

David Peltier identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Updates with exact steps to take - BUY, HOLD, SELL
Trifecta Stocks

Every recommendation goes through 3 layers of intense scrutiny—quantitative, fundamental and technical analysis—to maximize profit potential and minimize risk.

Product Features:
  • Model Portfolio
  • Intra Day Trade alerts
  • Access to Quant Ratings
Options Profits

Our options trading pros provide over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.

Product Features:
  • Actionable options commentary and news
  • Real-time trading community
Try it NOW
Try it NOW
Try it NOW
To begin commenting right away, you can log in below using your Disqus, Facebook, Twitter, OpenID or Yahoo login credentials. Alternatively, you can post a comment as a "guest" just by entering an email address. Your use of the commenting tool is subject to multiple terms of service/use and privacy policies - see here for more details.
Submit an article to us!
AAPL $126.35 2.50%
GOOG $551.83 0.64%
MSFT $40.90 -0.17%
FB $83.18 -0.14%
TSLA $194.50 5.10%


DOW 17,976.31 +263.65 1.49%
S&P 500 2,086.24 +25.22 1.22%
NASDAQ 4,947.4410 +56.2220 1.15%

Partners Compare Online Brokers

Free Reports

Free Newsletters from TheStreet

My Subscriptions:

After the Bell

Before the Bell

Booyah! Newsletter

Midday Bell

TheStreet Top 10 Stories

Winners & Losers

Register for Newsletters
Top Rated Stocks Top Rated Funds Top Rated ETFs