Google Phone

[JaJae]

washingtonpost.com
Report: Google shows phone prototype to manufacturers
Reports say Google has developed a customized handset, is talking to cell phone manufacturers and wireless carriers.

Ben Ames
PC World
Friday, August 3, 2007; 12:19 AM

Google has developed a prototype cell phone that could reach markets within a year, and plans to offer consumers free subscriptions by bundling advertisements with its search engine, e-mail and Web browser software applications, according to a story published today in The Wall Street Journal.

Google is showing the prototype to cell phone manufacturers and network operators as it continues to hone the technical specifications that will allow the phone to offer a better mobile Web browsing experience than current products, the story said.

Google did not return calls for comment.

The move would echo another recent product launched by a phone industry outsider, Apple Inc.'s iPhone. But Google's product would draw its revenue from a sharply different source, relying on commercial advertising dollars instead of the sticker price of at least $499 for an iPhone and $60 per month for the AT&T service plan.

Negotiating the fairest way to split those advertising revenues with service providers could be a big hurdle for Google, one analyst said. Another problem is the potential that consumers could be scared off by the prospect of listening to advertisements before being able to make phone calls, said Jeff Kagan, a wireless and telecommunications industry analyst in Atlanta.

"I don't know how successful it's going to be. The model of an ad-supported wireless Web has not been successful over the past 10 years," he said, referring to municipal Wi-Fi networks that offer free Internet connections to users willing to view advertisements while they surf the Web.

"The average adult who can afford a cell phone is not going to want to listen to ads. So this is mainly for teenagers, twenty-somethings, high schoolers or people who can't afford a phone," said Kagan.

Industry watchers have long heard rumors that Google was designing its own mobile phone. Google added fuel to that speculation in July when it announced it was willing to spend $4.6 billion to buy wireless spectrum in a U.S. Federal Communications Commission auction.

At the same time, an increasing number of industry newcomers have made bids to enter the market, such as Apple with the iPhone and The Walt Disney Co., which launched a wireless version of its ESPN cable sports channel that ultimately failed.

"We see the cell phone industry continuing to evolve," Kagan said. "We're still going to see traditional handsets, but the Apple iPhone was a brand new category in wireless, and it wasn't from a handset vendor and wasn't from a network."

Google's success in its venture will depend largely on the details it is still defining with its manufacturing and network partners, and whether customers are willing to trade user fees for intrusive advertising, he said.

"There are a lot of unknowns, but generally speaking, it hasn't worked yet," said Kagan.

Free cell phones from Google? They're gonna force you to listen and watch Ads, but this is great for those who can't afford a cell phone and need something in an emergency situation... or for someone who wants free portable internet.

[Ardentfrost]

This isn't exactly new news, although its projected availability is (at least to me).

Just more proof that Google is going to rule the world one day Them and Ikea will merge and we'll all be screwed.

The most interesting thing Google is doing in my opinion is posting up $4.6 billion for the 700 MHz spectrum so the gov't will prefer buyers who want a more open internet (ie., they don't want the gov't to sell parts of the spectrum to AT&T, Verizon, and other current spectrum holders if they're going to continue to lock down the internet on their mobile devices (charge outrageously for bandwidth, disallow certain types of programs to be able to run on the devices, etc...).

This google phone is actually an extension of that, I believe, because if they make a phone and buy up the 700 MHz spectrum (or at least get it to be open), then they'll be able to offer incredible services on their phone.

[garbagemanlb]

Originally Posted by JaJae

Free cell phones from Google? They're gonna force you to listen and watch Ads, but this is great for those who can't afford a cell phone and need something in an emergency situation... or for someone who wants free portable internet.

'I'll be on the line with 911 just after I get done listening to this nike ad'

[Publius]

Originally Posted by garbagemanlb

'I'll be on the line with 911 just after I get done listening to this nike ad'

i'd rather wait through a 15 second Nike ad then speak to a 911 operator than have absolutely no way of contacting a 911 operator.

Besides, I'm sure a call to 911 will have a built-in ad bypass.

[Simius]

Is only the phone free? Or is the cell phone service free as well. If the cell phone service is free sign me up!

[JaJae]

Originally Posted by garbagemanlb

'I'll be on the line with 911 just after I get done listening to this nike ad'

Well no I mean, if your car breaks down at 2am on a highway. Or if a family member is ill and you need to wait on a phone call, but can't be in the house all day, etc. But even still, having some form of an emergency phone is better than nothing. And I think it would actually be illegal for them to put an ad before a 911 call so I don't think they would do that. Ads before other calls, but not 911.

[JaJae]

Originally Posted by Simius

Is only the phone free? Or is the cell phone service free as well. If the cell phone service is free sign me up!

The plan is set to be free.

[motivez]

This sounds great, I'd rather listen to an ad and not be forced into a 2-3 year contract.. I really hate that for the most part if you want a decent phone and decent coverage you have to sign such a long contract.

Perhaps if (when) this takes off the other companies will try to put less of a stranglehold on their customers.