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Enter the Android, Google phone rides big hype to launch

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Associated Press Posted: Sep 24, 2008 at 0007 hrs IST
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New York, September 23: Google Inc’s announcement last year that it would give away software that could run cell phones was met by dizzy accolades from analysts who thought it would let the search engine company conquer the world of mobile advertising.

A fruit of that announcement was set to drop at a news conference in New York on Tuesday: T-Mobile

USA was to reveal the first phone to use Android, Google’s software platform.

But a lot has happened in the world of cell phone software in the intervening year, and Google looks set for an uphill battle in trying to capture the desires of consumers and wireless carriers.

Research firm Strategy Analytics estimates that T-Mobile could sell 400,000 phones this year, giving Google about 4 per cent of the U S market for “smart” phones, a category dominated by Research in Motion (R I M) Ltd’s BlackBerry phones with tough competition from Apple Inc’s iPhone, Palm Inc’s Treos and Centros and various phones running Microsoft’s Windows Mobile software.

The new phone, called the G1 according to T-Mobile’s invitation, is widely expected to be a design from HTC Corp of Taiwan.

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“This is the right moment for Google to answer some of the big questions that have been outstanding since Android was announced almost a year ago,” said Morgan Gillis, executive director of the LiMo Foundation, which has created a rival cell phone software platform.

The LiMo Foundation is behind one of the developments that has undermined the prospects for Android in the last year. In May, Verizon Wireless said LiMo, or Linux Mobile, would be the “preferred” software for its phones, starting next year. Like Android, LiMo is based on Linux computer software, and is given away free to phone makers.

While Google has tried to broaden its base by creating an Open Handset Alliance, Android is still very much identified as its project, and a “Google” brand on the phone will strengthen that image.

When it comes to getting carriers interested in Android, Google has an advantage its competitors lack: a world-beating advertising system that turned it into a multibillion-dollar company in the space of a few years. If Android can translate Google’s success in Web advertising to the phone, carriers could get a cut of the revenue.

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