I hate cell phones. It’s a pretty common fact. The value they provide is simply to place and receive calls from most anywhere in the world. The service they provide is terrible though. I remember being an AT&T subscriber and having nearly every one of my calls dropped. I would have cancelled this service except I entered a contract which would have cost me more to cancel than to take in the shorts. I’m now with T-mobile, which I like a lot, but Google may have just changed how the cell phone game is played.
This change is thanks to the Android Software Platform Google just announced. Google is no stranger to changing the way we do things. They’ve supported a gigantic business simply by displaying text advertisements next to the Internet content we already view. They just announced their intention to enter the cell phone market. I think this will be the next major milestone in Google’s company history.
Google is a member of the Open Handset Alliance, a group of around 30 manufacturers and developers who will create the basic capabilities of the handsets but then rely on independent software developers to create cool applications (like maps, games and email clients) for the phone. Some basic functionality like GSM (cell phone network) and Wi-Fi (every one else’s network) will be built into the phone and the software guys will add to that greatness. We’ll buy these new handsets in stores though I haven’t heard how much they will cost.
Given the software capabilities of the phone, this will really change the way we use our cell phones. We will have the ability to play games, take and edit pictures, receive email, browse the web and a whole host of other services only available to high end subscribers now. The phones come with cameras and I bet we’ll be able take and edit video for youTube as well. A location sensor exists in the phones so we will be able to get directions to where we’re going as we are getting lost. In short, this is a powerful computing platform which will enable us to do a lot more with our handsets. First there was the mainframe computer, then there was the desktop, then laptop. The next iteration could very well be the handsets Android supports.
Here’s why I think no one should renew their contract: If I understand their intention correctly, Google is looking to expand their business of showing us ads by putting a handset in our hands and giving us access to the Internet. They could burn us like the major mobile carriers do by charging high margin monthly subscription fees and higher cancellation fees in addition to their advertisements, but their model so far has been to give away the platform and just get “butts in the seats.”
If you let your cell contract expire and simply go month to month, you can upgrade to a better handset with cheaper out-of-pocket costs as soon as the product is launched. The launch is expected to occur sometime in mid 2008.
One other fun caveat to mention about the Android project. Google is expected to bid for the 700 MHz of bandwidth the FCC auctioning later. This bandwidth would provide Google with the means to host its own cell phone network; we could have Internet and cell phone coverage from Google.
This is a big direction that Google is taking and something that we have seen pay off with the launch of Apple’s iPhone. With the marginal service that mobile phone networks provide compared to the high cost we pay, I’m really excited to see a major player come in and change the game of mobile devices and how we use them. Hopefully, we’ll all be reflecting on the “dark ages” when we paid a cell phone bill and had lots of dropped calls.
COOL! I will be hopping on that train as soon as it comes to town!