Apple's (NASDAQ: AAPL) new 64-bit chip has been characterized by a Qualcomm (NASDAQ: QCOM) insider as a "hit in the guts," according to HubSpot. Qualcomm, a major chip supplier to many of Google's (NASDAQ: GOOG) Android partners, is now racing to catch up by planning to release its own 64-bit chip at some point next year.
In the following video, Fool contributor Sam Mattera explains how Google's Android ecosystem could be disadvantaged by the move to 64-bit chips. It's likely that 64-bit Android devices will appear next year, but the difference between 32-bit and 64-bit should only add to Android's fragmentation problem. Although it won't have an immediate effect, further fragmentation could ensure that Apple continues to be favored among app developers. Although most popular apps eventually make their way to Android, Western app developers continue to favor Apple's platform, and could for the forseeable future.