Could somebody clarify what the actual business plan is here? There is VC investment, so I assume there is at least some idea of how they are going to generate a return? It wasn't very clear from the post and I'm not familiar with cyanogenmod…
"Monetization isn't an immediate concern and our investors and Benchmark and Redpoint feel the same. CyanogenMod has the potential to become an enormous platform play, and to do that, we need to foster and grow the ecosystem. Right now, we just want to build something compelling and grow the user base. Eventually, there are innumerable paths to monetization once we reach economics of scale: licensing our software/services to OEMs, building hardware, creating secure enterprise solutions, etc.
Creating disruption in a multibilion dollar market is enough to make any investor raise their eyebrow."
After a year I won't have to put up with the question of "should I try opening it up to change out the battery?". Plus I can drop 64gb of storage into a 16 gb model, and keep expanding that as memory densities increase.
On the AMA he said that they (and the VCs agree) are concentrating on growth now. It makes sense to me, if the "bigger than Windows Phone" thing is even close to being true that seems like something worthwhile.
the problem i see with that (in my point of view), is how they can distinguish itself enough from android to actually make a stand against it.. being based on android this is a very dificult task.. so this is a dificult bussiness model..
The best thing to happen to them is the acqhire, if a big player buy them and the talent and using this android branch
like the chinese Xiaomi will do..
Have more than one player using their branch is more difficult, and unlikely, but possible..
My point being: people dont change, or buy phones because of small features and details.. it must be enough distinction to make a good point, it must be the whole package..
The mobile os sea its prety red right now, full of big sharks
One thing Google will never do is firmware/bootloader level programming to specific devices, and actually writing the code that lets you update your carrier/manufacturer controlled device to the latest version of Android.
CyanogenMod could effectively help more users get the latest version of Android faster than manufacturers and carriers would, and continually do so with their own software OTA cycles and suddenly have a platform of Android on top of the major devices regardless of manufacturer/carrier.
One rather large way that they can distinguish themselves is version updates. I'm pretty sure that that reason alone is a large factor behind their success (not primary, or even majority, just large).
Many android users have two options: keep using an older version of android or root their phone and pick up a new OS to get the latest and greatest. CM is the best OS for many models and makes of phones.
I also think their current success up to this point indicates the potential in the market. Something has brought in their millions of users. I'm don't think there is a problem of how they can distinguish themselves as much as there is the question of what have they already done to distinguish themselves and will it scale?
Starting with their baseline of better performance and faster updates than most OEM builds, they're building in some very interesting features/services:
- privacy-conscious device location
- cross-platform secure messaging
- multimedia streaming to "anything"
- ...
Assuming they can get official access to Google services, they'll have the whole package (which is unsurprising, they couldn't have gotten to millions of users without it).
Personally I always donate at least $10 for every device I install CM on ... its well worth it in my view. That seems like a decent business plan to me.
