Google Confirms Its Cell-Phone Plans

Confirming its long-rumored foray into the mobile market, Google said Monday it is developing a free cell phone software package so the Internet search leader can more easily peddle ads and services to people who aren't in front of a PC, reports the Associated Press.

Google won't be making the phones, nor does it plan to stamp its prized brand on the devices. Instead, it will work with four cell phone manufacturers who have agreed to use Google's programs in their handsets. Consumers will have to buy a new phone to get the Google software because the bundle wasn't made for existing handsets.

Yet the companies won't have any phones based on the open platform created by Google, known as Android, until mid-2008 at the earliest.

The search giant is teaming up with other major technology companies such as Motorola Inc., Qualcomm, Samsung, Sprint and T-Mobile in an effort that could change how the mobile-phone industry operates. The Open Handset Alliance counts 33 members.

According to an AP report, Google's software looms as a significant threat to other mobile operating systems made by Microsoft Corp., Research In Motion Ltd., Palm Inc. and Symbian, which is owned by Nokia Corp. and several other major phone makers.

Because Google's software will be free, it could undercut rivals who charge handset makers to install their operating systems. It also promises to make smart phones less expensive since manufacturers won't have to pay for software.

As consumers switch to phones with Internet capability, they are expected to conduct more Web searches on mobile devices. Googles has been eager to enter the cell phone market.
Google has even considered bidding for wireless licenses and building its own mobile network, and speculation persists that the company could eventually develop its own "Gphone," to compete with Apple Inc.'s iPhone.

(November 5, 2007)