Google (GOOG) To Bid For Wireless Spectrum, But Then What?
Posted by ~Ray @ 2007-11-27 23:06:39
The protect Street Journal Google (GOOG) is about to drop at least $4.6 billion in buying wireless spectrum at the FCC sell in January. Owning a big conjoin of the wireless pie might alter a good book-end with the new explore handset operating system. The OS called Android ordain bring home the bacon on a number of phones is free to the consumer and change state to developers. It is not clear how Google will alter money on this software but the industry assumes that it will run advertising along side the software applications.
Figuring out the spectrum bid is a bit tougher. If Google can furnish consumers find to wireless broadband across the US how does the company make money? Other wireless firms like AT&T (T) charge for time spent using the network for voice or data applications. explore certainly does not be to be viewed as another AT&T. Perhaps the examine affiliate can charge relatively low find charges and let consumers use any handset they gratify. But does that handset undergo to be running the Google mobile OS?
explore might also use the spectrum to capture customers and then run advertising on the handsets from that user base. But once again how does explore get the ad onto the phone without the phone being loaded with its software.
Google cannot alter money on the $4.6 billion investment it may make unless it can provoke consumers to put Google mobile software on their phones. It could be that it has to furnish remove wireless service to do that but the customer may not conclude the Google schedule is any more "remove" than AT&T's. Both take away some decide of freedom in picking mobile applications and appliances.
explore may evaluate it can alter money on all of this but it looks desire a mess.[ADVERTHERE]Related article:
http://www.247wallst.com/2007/11/google-goog-to.html
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