updated 12:40 pm EST, Thu January 27, 2011
Apple and Google CEOs allegedly intervened
Google engineering VP Vic Gundotra and Apple marketing VP Phil Schiller came into intense conflict over Google Maps in 2008, according to sources cited by Bloomberg and 9to5Mac. A Bloomberg article remarks that as Android first became a threat to the iPhone, Apple began resisting Google claims to location data accumulated whenever an iPhone owner uses Google Maps. Negotiations became so hot, two sources say, that the CEOs of Apple and Google had to step in and resolve the situation.
Apple ultimately switched to its own location tracking system; both Gundotra and Schiller have refused to comment. Relations between Apple and Google have deteriorated since 2008, largely because of the former's resentment of Google developing Android while simultaneously sharing minor involvement in the iPhone. Another reported blow to Apple relations was the first Android phone, the T-Mobile G1, which is alleged to have looked nothing like prototypes shown by Google executives to Apple's Steve Jobs and Scott Forstall.
Android has grown to challenge the iPhone's worldwide marketshare, but may face its first real test on February 10th. On that day the iPhone will become available through Verizon, currently an Android stronghold. Some commentators have supposed that much of Android's US success has been attributable to people being unwilling or unable to switch to AT&T, until recently the exclusive American iPhone carrier.