Apple Inc. (NASDAQ:AAPL)’s CEO Tim Cook dismissed Google Inc (NASDAQ:GOOG)’s Glass at Tuesday night’s D11 conference, characterizing it as niche product. While he might ultimately be proven correct, history suggests that he could regret those words — as could Apple Inc. (NASDAQ:AAPL)’s shareholders.
Cook’s statements
While being interviewed at the D11 conference, Cook was asked about his take on Google Inc (NASDAQ:GOOG) Glass, and more broadly, the growing trend of wearable computing.
Cook hinted that it’s an area Apple Inc. (NASDAQ:AAPL) is working on. Specifically, he identified it as an area “ripe for exploration” and one that has “lots of things to solve.” He refused to directly admit that Apple Inc. (NASDAQ:AAPL) was working on a wearable device, although reading his statements would incline most to believe that an iWatch was forthcoming.
“To convince people they have to wear something, it has to be incredible. If we asked a room of 20-year-olds to stand up if they’re wearing a watch, I don’t think anyone would stand up.”
So a watch? Yes. Glass? Not so much.
“I wear glasses because I have to. I don’t know a lot of people who wear them because they don’t have to.”
Cook admitted that there were some “positives” in Glass, but he characterized the potential of broad appeal as being “hard to see.”
Early reviews of Google Glass would support Cook’s ideas
I’ve covered it before, but early reviews of Google Inc (NASDAQ:GOOG) Glass tend to support Cook’s theory. In general, most reviews of Google Inc (NASDAQ:GOOG) Glass have found it to be lacking, hardly worth the $1,500 price tag.
But it’s truly a revolutionary product, one that’s been seen only in sci-fi movies. It will certainly take time and many iterations to perfect, but Google Inc (NASDAQ:GOOG) Glass offers a whole new way for users to connect with the Internet.
Contrast that with a rumored smartwatch. No one — outside of Apple Inc. (NASDAQ:AAPL) — definitively knows what the product will offer, but if it’s anything like the Pebble, the answer is: not much.
For all intents and purposes, the Pebble smartwatch serves as a phone’s second screen. As one reviewer put it, “[it] helps me to prioritize when my phone needs to come out of my pocket.”
That could certainly be convenient, but is far from a necessity. To put it another way, a smartwatch is sort of an add on to a smartphone — if you don’t have one, you won’t miss much. On the other hand, Google Inc (NASDAQ:GOOG) Glass has the potential to offer a fundamentally different experience.
What would that experience entail? It’s impossible to say. Just six years ago, few probably saw where the smartphone was headed — that it could come close to fully replacing a person’s PC.
Venture Capitalist Marc Andreessen is hopeful about Google Inc (NASDAQ:GOOG) Glass, believing that it holds the power to revolutionize a number of industries, most notably healthcare.
Microsoft Corporation (NASDAQ:MSFT)’s mistakes
Although Microsoft Corporation (NASDAQ:MSFT)’s shares have been on a great run recently, the company has struggled over the last decade, missing out on a number of major tech revolutions.
First and foremost, the company missed the shift to mobile. Although reviewers identify Windows Phone as a capable operating system, it remains a distant third behind offerings from both Apple Inc. (NASDAQ:AAPL) and Google, seemingly suffering from having been too little, too late.
But the single worst thing about Microsoft Corporation (NASDAQ:MSFT)’s failure to capitalize on the mobile revolution? The reaction of CEO Steve Ballmer (watch it here).
“*laughing*…$500, fully subsidized, with a plan? I said that is the most expensive phone in the world and it doesn’t appeal to business customers because it doesn’t have a keyboard.”
Ballmer has been equally as dismissive of other products, such as Google’s Chrome OS and Apple’s iPad. Chrome OS remains a bit of an oddity, but is beginning to pick up steam, while the iPad has been the world’s best selling tablet over the last three years.
Ballmer’s failure to adapt to the market may have cost Microsoft the Windows business, as it increasingly looks as though Android will one day supplant Windows as the world’s dominant operating system.
Is Cook becoming Ballmer?
Comparing Cook to Ballmer is, at this point, a bit of a cliche. That said, with his outright dismissal of Google Glass, Cook could be setting Apple up to miss out on a revolutionary new tech market.
Of course, he could change his mind. Apple produced the iPad Mini after its founder Steve Jobs repeatedly shot down the idea of a small tablet. Further, Apple is a company that likes to produce polished products — Google Glass sounds like the opposite. Perhaps Apple will watch Google experiment for a while before it tries its hand.
At any rate, Apple’s investors can remain hopeful for a new, wearable product — they just shouldn’t expect a pair of glasses.
Salvatore “Sam” Mattera has no position in any stocks mentioned. The Motley Fool recommends Apple and Google. The Motley Fool owns shares of Apple, Google, and Microsoft. Salvatore “Sam” is a member of The Motley Fool Blog Network — entries represent the personal opinion of the blogger and are not formally edited.
The article Did Apple’s Tim Cook Just Have a Steve Ballmer Moment? originally appeared on Fool.com.
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