The speculation was dead on regarding today’s announcement of the new Google Phone, dubbed The Nexus One (iPhone Killer). Initially Nexus One will be sold via Google unlocked ($529.00) or through T-Mobile ($179.00 with 2 year contract), but it will be available to Verizon and Vodafone customers Spring 2010. Currently the unlocked phone will only recognize SIM cards from any mobile provider using the GSM standard and is incompatible with CDMS networks like Verizon and Sprint. Google is making the phone retail experience a separate entity, allowing mobile users to choose cell phone provider by SERVICE as opposed to supported handsets.
Unveiling the Nexus One Google Phone is an innovative way for Google to get more people on the Internet to give them access to Google services and show them ads. There is a small margin to make profit simply by selling these “superphones” to the public. Where Google hopes to monetize heavily is on advertising, and its recent acquisition of AdMob appears to have happened in quite a timely manner. With Google, there are no coincidences – I’m sure this recent chain of events has been in the Google/AdMob/Nexus One pipeline for quite some time.
Only time will tell how the Nexus One Google Phone will be received by the public, but one thing is for sure: Google’s mission is to bring their ads to everyone, everywhere. Are you advertising YOUR business with Google AdWords or are you still stuck in the 1990s? How will mobile advertising evolve? Will pay-per-click (PPC) advertising remain the dominant force in the mobile market that it has become on the PC? Will effective PPC Management remain the critical component of one’s advertising success that it is today or will a new more powerful form of mobile advertising emerge?