vivo strives to win over iOS users with its latest X Fold 5

Exploring paths to breaking ecosystem barriers

Smart device ecosystems can be divided into two types—closed ecosystems, such as the Apple OS family and HarmonyOS Next, and open ecosystems, like those based on Android. In the competitive smartphone market, Android manufacturers are striving to succeed in the premium segment by attracting users from Apple. To engage with these highly valuable customers who are part of closed ecosystems like Apple’s, Android vendors are continuously exploring ways to improve compatibility and discover methods to connect with these users within Apple's walled garden.

In terms of hardware, the first-mover advantage of foldable devices and the growing variety of niche yet sticky user scenarios, such as on-the-go productivity, have created significant opportunities for vendors to enhance their market position and attract Apple users. However, simply offering different form factors and features is not enough to persuade users to switch, particularly for dedicated Apple fans who are deeply integrated into the vendor’s ecosystem due to their long-term use of Apple services and devices.

The landscape of software and operating systems for Android vendors has changed dramatically. Initially, these vendors concentrated on providing devices that work with Apple. However, there has now been a shift toward ensuring compatibility with Apple file formats and facilitating cross-platform file transfers through various applications. The aim is to create seamless user experiences across different systems and devices, encouraging Apple users to explore emerging and unique Android features, such as those found in foldable devices that Apple has yet to offer.

To encourage users to take another step further away from the Apple ecosystem, vivo has become the first Android manufacturer to offer compatibility with the Apple Watch and AirPods—two key devices within the iOS ecosystem. This compatibility allows users to connect their Apple products to vivo X Fold 5, enabling them to enjoy their familiar Apple devices while exploring the features of vivo’s latest foldable. Other smartphone brands, such as OPPO, HONOR and Xiaomi, are also actively developing similar strategies to penetrate Apple’s digital stronghold, aligning their approaches with their unique brand identities.

A longer-term strategy to convert Apple users remains crucial

The vivo X Fold 5’s compatibility with iOS, macOS, watchOS and AirPods effectively lowers the barrier for Apple users who are considering switching or dual-holding Apple and vivo devices, thereby enhancing its attractiveness as a potential “next device” candidate.

This strategic decision presents a significant opportunity for vivo, allowing the brand to attract Apple users intrigued by innovative foldable features. However, a key challenge is converting this initial curiosity and willingness to experiment into a complete switch to vivo. It is worth noting that Apple is expected to launch its own foldable device, although not in the immediate future.

Furthermore, the ongoing evolution of Apple’s operating system and hardware necessitates that vivo continues to invest in research and development. This investment is essential for maintaining compatibility and ensuring a seamless cross-ecosystem experience. During the launch event for the X Fold 5, vivo emphasized its use of open interfaces offered by Apple. However, changes in Apple’s interface policy could jeopardize the interoperability that vivo has worked hard to establish.

As consumers weigh their options, it will be crucial for vivo not only to sustain its competitive edge in core devices but also to explore avenues for expansion in the face of fierce competition. While the road to creating a competing ecosystem at scale will become increasingly challenging, vivo’s options include exploring new device categories that can help the company create new competencies around sub-ecosystems that can be meaningful to more high-value users.

Apple should pay attention to the emerging ecosystem trends

The concept of breaking down ecosystem barriers has two distinct aspects. On one hand, Android brands are successfully introducing their products to Apple users, which weakens Apple’s influence and the lock-in effect of its ecosystem. On the other hand, Apple products, such as Beats TWS earbuds and Apple Music, are becoming increasingly appealing to Android users due to their enhanced compatibility with other platforms. This development blurs the lines between different ecosystems and challenges Apple’s long-established strategy of maintaining a closed ecosystem.

As Android vendors, especially in China, leverage advancements in AI and foldable devices, areas where Apple has yet to showcase significant innovations, they are eroding Apple’s primary strength—its ecosystem lock-in effect. Despite utilizing a “late-mover” and “perfected product” strategy, Apple cannot afford to ignore these trends. If Apple’s eventual implementations of AI and foldables fall behind competitors in terms of capability and features, the long-term erosion of ecosystem loyalty could become a significant threat.

Apple needs to explore new ways to break this deadlock by maintaining ecosystem integrity and ensuring a stable user experience while also addressing users’ demands for breakthrough innovation. This challenge is strategic for Apple and indicates that competition within the smart device industry’s ecosystem is entering a more inclusive, collaborative and dynamically evolving phase.