Google Chairman Eric Schmidt and Jonathan Rosenberg are on their How Google Works book tour and they got the fun questions from Bloomberg.

At 5:30 in the video:

RUHLE: You mentioned smartphones. How do you feel in the last week when you drive by any Apple store, San Francisco, LA, New York, and there are people lined up around the block? So even though way more people carry Android phones, how does Apple have that desire factor?

SCHMIDT: I’ll tell you what I think. Samsung had these products a year ago.

Amusing.

More Schmidt:

RUHLE: You mentioned smartphones. How do you feel in the last week when you drive by any Apple store, San Francisco, LA, New York, and there are people lined up around the block? So even though way more people carry Android phones, how does Apple have that desire factor?

SCHMIDT: I’ll tell you what I think. Samsung had these products a year ago.

RUHLE: And nobody had a huge party. In the last month when Samsung came out with new products people weren’t losing their mind camping out. How does – what do you think about it?

SCHMIDT: I think Samsung had the products a year ago. That’s what I think.

SCHATZKER: Does it worry you at all that the companies that have adopted Android can’t make as much money in the smartphone business as Apple does? It’s a great business model for Google. You’ve populated the world with Android software through these mobile devices, whether they be tablets, phablets or smartphones, yet increasingly the likes of Samsung and others aren’t delivering the same kind of results.

SCHMIDT: If you look at Digicel as an example, this is a company which has pioneered a low-cost model with an awful lot of customers. They’ve changed the world. They’ve been a good partner. The fact of the matter is you can make a small market share with a lot of profits or you can make the same amount of money with a much larger market share and lesser profits. We go for volume in our strategies.

ROSENBERG: And it’s a model that’s creating far more choice for consumers, and more importantly, it’s driving the cost of smartphones down for consumers.

SCHMIDT: In fact I would say that this brutal competition between Apple and Google over Android and iOS has enormous benefits for consumers worldwide. If you look at the innovation on the Apple side and on the Google side, that competition which I think is the defining fight of the computer industry, it benefits global at the billions of people level

SCHATZKER: Would it be better if it were something more than a duopoly?

SCHMIDT: It’s always good to have more competitors, but trust me, between Apple and Google you’re seeing enormous, enormous racing.

SCHMIDT: And Amazon in fact is an Android user. Remember that Apple is a large Google search partner and a very tough Maps and phone competitor.

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