Netgear CEO Has Issues with Apple’s ‘Closed’ Business Model and Windows Phone 7

Posted by at 11:15 am on January 31, 2011

Netgear’s global chairman and CEO Patrick Lo has launched an strongly worded assault on Steve Jobs and Apple’s ‘closed’ business model, while simultaneously heaping praise on Google’s Android mobile OS in an interview with the Sydney Morning Herald.  Lo criticized Jobs stance on Flash on iOS and said the only reason it was absent from Apple’s mobile devices was because of Jobs’ “ego”. “What’s the reason for him to trash Flash? There’s no reason other than ego,” he argued.

He also has issues with Apple’s business model and Windows Phone 7, and said that Android was set to become the dominant OS, not only on mobile phones, but other devices including TVs. This, he said, can be attributed to Apple’s “closed” business model and the fact that movie studios were “wary“ of Jobs because he has forced them into a position where they pay a “ransom” to have their content distributed through iTunes. “Steve Jobs wants to suffocate the distribution so even though he doesn’t own the content he could basically demand a ransom,” he purported.

As for Microsoft and Windows Phone 7? “Microsoft is over – game over – from my point of view.” From Lo’s perspective, Microsoft has missed the boat and is so far behind that it will continue to languish in behind Apple and Android.

However, Lo was much kinder about Android and its “openness.” It has already overtaken Apple in the US and is set to overtake Apple globally he claimed. Open-source platforms like Android will win because any manufacturer can use them for free.

“Ultimately a closed system just can’t go far…If they continue to close it and let Android continue to creep up then its pretty difficult as I see it.”

Lo compared the battle between iOS and Android as akin to the Betamax vs. VHS video format wars. Even though Apple’s ecosystem offers consumers a seamless experience, this would not be enough to stop Android from becoming the default platform.

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