Tuesday, March 3, 2015

Google confirms it will offer carrier services, may operate Google brand across pre-existing network


Google sign
Google has confirmed it intends to operate some type of phone service, likely in partnership with an existing carrier. Previous reports have floated the idea that Google might become a Mobile Virtual Network Operator (MVNO), which would give it the ability to launch a comprehensive service over a partner’s wires without taking on the infrastructure expense or difficulty of building its own network.
Google’s senior VP, Sundar Pichai,has now confirmed that the search giant has a mobile service in the works, but has on been vague on its details or capabilities. In his discussion with journalists, Pichai likened Google’s experiments as a carrier with its work on the Nexus family or its various other products and testbeds.

According to Gartner analyst Bill Menezes, the entire point of Google’s move is to push carriers to do things they haven’t previously done. Google’s own service could theoretically be tied to specific features of the Nexus phone family, thereby offering customers a unique experience from combining hardware and service that other carriers haven’t offered.

Smaller carriers are likely partners

It’s not hard to figure out which carriers are most likely to work with Google to push a project like this. Companies like Verizon and AT&T have little reason to work with Google to create a brand that the latter will benefit from, while smaller competitors like T-Mobile and Sprint have more reason to partner up. The size and shape of this agreement is still unknown. Google offered one example of a feature MVNO might offer: the ability to automatically reconnect a phone call if you lost it accidentally.
The question of whether Google is more or less likely to be pro-consumer than your typical carrier depends entirely on how one defines “pro-consumer.” But it’s hard to argue that the company could do better. Time after time, we’ve seen the major ISPs and wireless companies blatantly disregard anything that passes for good service in favor of higher profits and consumer-unfriendly pricing.
MVNOs can have a variety of different features.
MVNOs can have a variety of different features.
Google’s Fiber rollouts have already had an enormous impact on the municipalities where they debut — a Google Wireless could theoretically bring lower prices and better service tiers, even to existing cell phone customers.
The company wasn’t willing to unveil any details of the kinds of service it might bring to market, but promised to make those details available within the next several months. Other analysts have indicated that Google is unlikely to launch itself into the low-margin business of providing minutes or data service, but would instead prefer to focus on specific higher-end features and capabilities.

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