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Google to End Chrome Apps Support on Non-Chrome OS

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Alphabet Inc. (GOOGL - Free Report) owned search engine giant Google has announced that it will cease its support for Chrome apps running on Linux, Mac or Windows based operating platforms by 2018.

The shift will take place in a phased manner. By late 2016, only people who use Chrome operating system (OS) will be able to download and use the new Chrome apps on their systems. During the second half of 2017, Chrome apps will no longer be displayed on the Chrome Web Store on PCs that have a non-Chrome operating system. In 2018, people using a non-Chrome operating system will no longer be able to access Chrome apps.

The Chrome OS

Given the popularity of Chromebooks (running on Chrome OS) in the educational and corporate sectors, due to their low cost and manageability, Google introduced the Chrome web apps in 2013 to enhance its user experience.

So far Google allowed developers to create apps for the Chrome browser that could function similar to the standalone apps and run on Linux, Mac or a Windows-based computer with a Chrome browser. This allowed people with a non-Chrome OS based computer to use the apps.

Moreover, Google stated in a blog post that only 1% of users running the Linux, Mac or Windows platforms make use of the Chrome packaged apps. The rest use hosted apps, thus emphasizing the fact that there is no need for the packaged apps anymore.

Our Take

Google is likely to shift its focus on OS development and abstain from Chrome packaged app development going forward.

We also note that given the popularity of apps in the mass market, Google’s stance will force developers to make their apps compatible with other web browsers running on non-Chrome operating systems. Additionally, this decision by Google marks an effort to focus on the niche OS segment after its successful stint with apps.

Zack Rank & Stocks to Consider

At present, Alphabet has a Zacks Rank #3 (Hold).

Some better-ranked stocks in the broader technology space are Facebook, Inc. and LinkedIn Corporation , sporting a Zacks Rank #1 (Strong Buy), and Blucora, Inc. carrying a Zacks Rank # 2 (Buy).

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