Thursday, February 7, 2008

Will Google Succeed in Creating a Cell-Phone Universe?

My take is that Google can do it but it will be a very challenging task.

The latest entrants are software companies that have entered into mobile phone space, specifically - Google and Apple.

Apple obviously came first. The iPhone has been heralded as a wake-up call to the mobile industry long criticized for making anything other than voice phone calls difficult and expensive. More recently is Google, making things really interesting with its Android initiative. Unlike the iPhone, which is a flashy piece of hardware optimized with equally flashy software - Android is Google’s open-source operating system for mobile phones.

Google and its 34 partners in the Open Handset Alliance are betting that together they can reshape the mobile phone industry by offering a free Linux-based mobile phone operating system and software dubbed ‘Android’. Android consists of a fully integrated mobile software stack containing an operating system, middleware, user interface and applications. Google expects the first phones based on Android to be available in the second half of 2008.

It's a bit of a pipe dream
Google is not the first company to promise the mobile phone community an easier and more streamlined way to develop new applications.

Microsoft tried to unite the fragmented mobile phone market under Windows Mobile OS, but despite licensing agreements with some 50 phone manufacturers, it shipped around only 10 million-15 million phones during 2007. Nokia tried it too, spearheading the Symbian OS, which has captured more than 70% of the global smart-phone market, according to ABI Research. But developers must pay licensing fees to write for the platform, and ABI expects its market share to fall to almost 40% by 2012. (Symbian operating system is developed by a consortium of handset makers including Nokia and Sony Ericsson. The software is licensed to a number of handset manufacturers and is the No. 1 smartphone operating system for handsets in the world)

Google in a fiercely competitive market
Google has ventured into a fiercely competitive market, going up against Microsoft, which offers a mobile version of its Windows operating system; Symbian, which is owned and backed by industry players, including Nokia and Ericsson. Apple has its own operating system for iPhone.

Microsoft and Symbian's failure to dominate the market is striking. Both have been available for years - Windows Mobile is already on its sixth iteration - but handset manufacturers and network operators have not made either into a standard, for fear of ceding too much value to the standard's owner.

The Google strategy seems to make the environment for Windows Mobile much more challenging. If the plan succeeds, Android could pose a real threat to the existing smartphone operating system vendors. Clearly, this is a threat to Microsoft from the platform side

Not a easy task for Google
Getting consensus on a single operating system is easier said than done, since the companies that have developed these platforms have a vested interest in seeing their solution dominate. Alliances have been formed in the past to promote some standardization, but the problem has always been that the companies involved are reluctant to give up control.

While Google has rallied some of largest companies in the mobile ecosystem including chipmaker Qualcomm; handset makers Samsung Electronics, Motorola, and LG Electronics; and mobile operators T-Mobile, Sprint-Nextel, and Telecom Italia--it is still missing some significant players. For example, U.S. operators Verizon Wireless and AT&T haven't signed on to the alliance, nor has European operator Vodafone. In addition, Nokia is not a party to it.

It truly has to be an ecosystem that has everyone involved. Without AT&T and Verizon Wireless I think it just becomes yet another platform that all developers just have to write

Google is optimistic
Andy Rubin, head of the Android project at Google, hopes that within five years, "hundreds of millions" of Android-based phones will be sold per year. After five years of
effort, Microsoft ships about 20 million phones based on Windows Mobile each year

It is only time which will tell whether we all will be using single platform based mobile or not. Me too like most analysts keep fingers crossed on this. Hey, by the way, where is much talked Google’s phone (GPhone)?

By Shivashankar M.P.

2 comments:

Debanjan said...

Google has been trying to delay and pull back Microsoft's bid for Yahoo. Well, the hullabaloo may tread through a whole ground of anti-trust restrictions. Apart from gPhone, many Asian handset makers are well on their way to launch Android-powered smartphones. HTC is committed to shipping a GPhone this year. Going by the trend, it is apparent that there is going to be no such thing as a definite Gphone, but many different GPhones, which is very different from what the iPhone is basically. “The Google Phone is a platform….you see.” This provides opportunities to developers since the gPhone will be more about the applications it will carry rather than the phone itself.

GPhone: Rich with software apps

An open platform gives the “gPhone” an edge in technology with various possible hardwares with handset makers ready with variety of models. I feel the biggest feature that Google carries as a gargantuan brand is its free and open development platforms, a factor significant enough to keep Microsoft and Yahoo at bay. This breeds innovation and connects a pool of extra-ordinary minds into a single product.

If you really want to get a glimpse of your “gPhone”…..watch out for the smartphones coming in…they are the prelude to something BIG on the way from Google.

Debanjan Chakraborty

Jagged Arrow Head said...

I think that the success of the Google Phone will depend on how well the company embeds its two potent tools in the mobile handset OS i.e. Advertisements and Google Search. Challenges being, the other 36 people who are the part of the OHA have to be in-sync with what Google has in mind. Also, when Google Phone is launched, don’t compare it with how Apple iPhone did when it was launched. Apple as a company is in the Audio video domain from long time and it has some expertise in that particular field when it launched the iPhone. The iPhone though popular with common man, is not liked much by a mobile handset enthusiast. Anyways, when Google comes up with it phone the world will certainly take a look at it with lot of criticisms and appreciation.