Google's Android platform is the world's most popular mobile operating system, but has it reached its peak?
About 84 percent of all smartphones ran Android in the third quarter, a 1 percent drop from the previous quarter, according to Strategy Analytics.
But in a global market, where smartphone shipments grew 27 percent annually, Android was not the only mobile OS to slide. Apple's share counted for 12 percent in the third quarter (also down about 1 percent), while Microsoft captured 3 percent, and BlackBerry less than 1 percent.
Google's presence in emerging markets like Asia, Africa, and the Middle East have also given it a leg up over competitors like Apple, which is still struggling to find its way into developing countries.
"Android's leadership of the global smartphone market looks unbeatable at the moment," analyst Neil Mawston said in a blog post, citing its low-cost services and user-friendly software.
"However, challenges are emerging for Google," he continued. "The Android platform is getting overcrowded with hundreds of hardware brands, Android smartphone prices are falling worldwide, and few Android device vendors make profits."
Which could mean that "Android is probably never going to go much above the 85 percent global market share ceiling," Mawston told the Wall Street Journal.
Google's Android-based revenue comes from ads in apps like Search, Maps, and YouTube (many of which are pre-loaded on Android devices), as well as sales from the Google Play Store. But Google's biggest challenge, according to the Journal, could be regulators: The European Commission is probing Google's Android OS regarding concerns that the company deliberately blocks rivals from promoting their services in Google-branded apps.
Google did not immediately respond to PCMag's request for comment.
Strategy Analytics' data came out just weeks after Google unveiled its next-generation OS—Android 5.0 Lollipop, available initially on the new Nexus 6 smartphone and Nexus 9 tablet.