Alphabet Inc (NASDAQ:GOOG)’s Chromebook Rise To Account For 50% of U.S. School Device Sales
Alphabet Inc (NASDAQ:GOOG) (NASDAQ:GOOGL) is displacing Apple Inc. (NASDAQ:AAPL) and Microsoft Corporation (NASDAQ:MSFT) from U.S. education device budgets. It turns out that Chromebook, the laptops that run Chrome OS, accounted for over 50% of education device sales to U.S. schools in the last quarter. That reflects a massive jump in market share considering that Chromebooks accounted for less than 1% of U.S. school device sales in the same quarter in 2012.
As Alphabet Inc (NASDAQ:GOOG)’s Chromebooks take more share of U.S. school district spending on education devices, Apple appears to be taking the heat. Chromesbooks appear to be growing popular in U.S. schools at the expense of Apple’s iPads and Microsoft’s Windows PCs.
For Alphabet, multiple factors have been noted to favor its penetration of school budgets for computers.
Alphabet’s Chromebooks are displacing iPads and Windows PCs from school budgets because they are more affordable than alternatives. For U.S. school districts that typically operate on tight budgets, cost-saving opportunity is an important factor in deciding which computer devices to purchase for students.
Laptops that run on Alphabet’s Chrome OS are also said to be better suited for school-level productivity needs than the competition, thus their rapid filtration of school budgets.
From 1% to over 50%
As such, the low starting price and productivity features of Chromebooks appear to fuel the uptake of Chromebooks by schools. According to Futuresource, Chromebooks contributed more than 50% of all education devices sold to U.S. schools in 3Q2015. That compares with 40% of Chromebook market share in the same quarter last year and less than 1% in the same quarter in 2012.
However, there is doubt as to whether Chromebooks can sustain their lead in U.S. school computer budgets. Microsoft with its 2-in-1 Windows laptops is particularly seen as a threat to Alphabet Inc (NASDAQ:GOOG)’s Chromebooks in the school system.
Moreover, claims that Alphabet Inc (NASDAQ:GOOG) is collecting data on students through its Chromebooks could also dent penetration of the Chromebook laptops in schools, not only in the U.S. but also abroad.
Latest posts by Neha Gupta (see all)
- Is Facebook Inc (NASDAQ:FB) Winning Or Losing In Virtual Reality Space? - May 27, 2016 07:35 AM PST
- No Growth In Costco Wholesale Corporation (NASDAQ:COST)’s 3Q Comps Explained - May 27, 2016 07:34 AM PST
- How Will International Business Machines Corp. (NYSE:IBM)’s Big Data University Help? - May 27, 2016 07:33 AM PST