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Free Nexus One? the New Google Phone for Free? It Will be the Success Factor

Google plans to sell its new Google phone, the "Nexus One" on its own, without going through the mobile phone operators or carriers.  It has given its employees to test the new Google phone, and it plans to sell "Nexus One" directly to consumers next year.  What will be the price?  Will consumers get Nexus One for free?  Will there be any free Google phones?  It is one of the determining factors for the success of Google phones.

By Samuel Chong
December 13, 2009

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Los Angeles, CA.  Google will sell "Nexus One", the new Google phone, next year, on its own.  It is said that the manufacturer of the Google phone is the Taiwanese manufacturer HTC.  We do not know the price of "Nexus One", the new Google phone.  However, Google is not selling its phones through mobile phone operators or carriers such as Verizon, T-Mobile, or Sprint.  It plans to sell them on its own over the Internet.  Will Google provide Nexus One, the new Google phone, free of charge?  That will be the determining factor for the success of the new Google phone.

To understand the US mobile phone market, one has to know that it differs dramatically from the mobile phone markets in Europe or mainland China, where most consumers purchase mobile phones on their own.  In the United States, on the other hand, many mobile phone users get their mobile phones free of charge as long as they sign a one year or two year contract with a mobile phone operator or carrier.

Google is trying to bypass this middleman by selling its phones directly on the internet.  It tries to make the Google phones as affordable as possible by using advertisement revenues to subsidize the costs of these phones.  With many of the new features that Google added on "Nexus One", the company hopes to profit mainly from the advertising revenues on the Google phones instead of the handset themselves.

However, will Google be able to offer "Nexus One" for free?  Will there be a free Google phone? This will be the determining factor for the success of the new Google phone.

We are certain that "Nexus One", the new Google phone, will be able to allow users to make mobile phone calls through Wi-Fi networks, enabling users to make phone calls through the Internet without signing contracts with mobile phone operators or carriers.  However, in areas where there is no Wi-Fi coverage, users will then have to find a mobile phone carrier.

Thus, there will be a charge, either a monthly cost, or a fixed cost, charged by mobile phone carriers. 

Moreover, it is said that "Nexus One" does not have a keyboard.  For people who type a lot, a phone with a keyboard seems to have an advantage over a phone with a touch screen.  Will the new Google phone have a keyboard version?

What will be the cost of "Nexus One"?  Will it be distributed free?  Apple's iPhone was selling at over $700 per set on the black market in China a year ago.  People there wanted to buy it then, at that cost.  But that was in China.  Will US consumers willing to give up their iPhones or Blackberrys to pay for a Google phone?

We believe the word "free" will be the magic word, and it will be the key determining factor for the success of Google phones.  We also want to hear about your thoughts.  Please write to us. And we will post your comments here.

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Comment #1

I think that Google has made a great choice first of all going to HTC to make the phone. I have seen the HTC phones and they are attractive to the eye and seem hearty (well built). I do not own a HTC phone yet but have had my eye on them. I digress from my topic though, sorry, the fact that will be a determining factor in the success of the phone is low cost or free, but more importantly the way it will use the resources available to it i.e. WI-Fi for calls (this is attractive if you are wanting to watch minutes on call plans), wireless home or business networks and the ability to switch to and use a carrier, like AT&T, T-mobile and later others, so they don't confine themselves to limited markets, when there is no wi-fi or wireless network available.

I like the phone from the looks in the photos, and if the apps Google has already anointed the world with is any indication, I can only imagine what they are going to do with the phone.

Will Watkins