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Notes from the Field | Robert X. Cringely® » Will Google Wireless carry the day?

November 19, 2007 | Comments: (0)

Will Google Wireless carry the day?

Looks like the Goo-goo-googlers are going to bid for a swath of the 700 MHz spectrum after all. Though the revenue engorged G-men could probably pay the $4.6 billion minimum bid out of petty cash, some analysts say they may need a wireless partner to pull off instant nationwide access. Then again, this is Google we're talking about. Even their failures are better than most companies' successes. And the airwaves used to carry Beverly Hillbillies and Green Acres reruns offer a kind of reach cell networks can't touch.

As Good Morning Silicon Valley's John Murrell sagely notes, if there's any industry that could use disrupting, it's the wireless biz. Thinking on this I am once again reminded how much the Big 4 wireless companies resemble the Big 4 music companies in the pre-Napster era. Snuffing out or swallowing up the competition, jacking up prices while letting product quality slide, and generally jerking around their customers.

For example: locking you into onerous contracts with steep early exit penalties. Cutting you off for exceeding the limits of their “unlimited” access plans. Charging you $2.49 for a 20-second snippet of a song that costs 99 cents on iTunes. And so on.

The problem with this approach is that when you screw your customers often enough they tend to seek alternatives, legal or otherwise. Usually the upstarts can be easily squashed. But Google doesn't look very squishy to me. Unlike the telecoms, they're not sitting atop a mature industry desperately seeking new revenue streams. They're the Big Kahuna riding the wave of an industry whose crest isn't even in sight.

I think the wireless giants are in for a good spanking, and I hope it hurts. Google wireless may not turn out to be the Napster of the mobile industry, but I'd settle for the equivalent of iTunes – a high-quality reasonably priced alternative that works.

Would you sign up for G-wireless? Post your thoughts below or send me an email. Tipsters whose contributions are used in the blog qualify for new Cringe swag of a beery nature.

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Posted by Robert X. Cringely on November 19, 2007 06:51 AM


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I can't even get service in my home with T-Mobile, so yes, I would sign up for G-wireless. Does that come with a G-phone?

Posted by: Steve at November 19, 2007 08:19 AM

I would love to have them enter the wireless market and shake it up. But I probably wouldn't use their service as I can only imagine the data mining they would do ;>)

Posted by: Gary at November 19, 2007 10:47 AM

I am just waiting on pins and needles for them to do it, as soon as I'm gone AT&T

Posted by: Clyde at November 19, 2007 11:21 AM

Let's hope they DO NOT find a 'wireless partner' then it will only be the same BS we get now. Kinda like every other homogenized industry. All we get is the cream of the crap.

Posted by: ap0x at November 19, 2007 12:16 PM

Would I sign up? In a heart-beat! I am so tired of getting sc$@$#%d by Sprint and AT&T. Go for it Google!
Fortunately, or unfortunately, data mining wouldn't get much that is exciting from me..... :-)

Posted by: CSClay at November 19, 2007 12:16 PM

I'd sign up in a heartbeat. Depending on price, of course.

Posted by: adam at November 19, 2007 12:24 PM

In a New York Minute baby, I am so there !

Now if only google would make an operating system.... A geek can dream can't he ?

Posted by: Ted Potter at November 19, 2007 12:45 PM

Maybe after Google develops an OS they could branch into the cable TV market. That's another industry that could use some competition!

Posted by: Ron at November 19, 2007 01:22 PM

Hopefully they would also target the Canadian market, because it is not as competitive as the US.

Does this mean no dead areas, as we all would be in the G Spot???

Posted by: BBIBH at November 19, 2007 01:23 PM

I'd Sign up in a second, The Telecoms are more lethargic then IBM was as the PC-AT clones started showing up.

Posted by: IvanTT at November 19, 2007 01:32 PM

Even without Google, the big 4 (Verizon, AT&T, Sprint, and T-Mobile), are going to get slapped.

MetroPCS and Leap (Cricket) are two providers that offer unlimited wireless voice and texting for relatively cheap ($40 from MetroPCS).

But even they don't really "get it" --, for instance, Metro PCS doesn't include a data plan in that.

But until 700 MHz is a reality, it is nice to have choices.

Posted by: Stephen G at November 19, 2007 02:24 PM

MetroPCS DOES offer data for $5/mo more....
http://www.metropcs.com/Plans/Default.aspx

Compare that to my $40 / mo Blackberry access from ATT.

Not all of the wireless companies are lethargic - they just require HUGE capital expenditures to introduce new products, services and coverage areas. Based on the market desire to buy publicly traded stocks that generate large returns, they have to be conservative.

How in the world Google is worth their market cap... I have no idea...

Posted by: Matt at November 19, 2007 03:47 PM

He77 yes, I would sign-up I'm tried of being screwed by the current Wireless vendors.

Posted by: Owen D at November 20, 2007 06:59 AM

The question would be the towers. Right now getting the paperwork and putting up towers eat half the profit or more from the cell companies, the rest is eaten by deals with the cell phone mkg, where they design and build the things with no budget because they know the costs will be underwritten by the big four above. These all add up, what are not justified are the $2 411 calls that used to be free, the data plans that don't really use up that much bandwidth since you usually are not doing both at the same time. Even if g does data mine they should force the price down though more likely the big four will sell towers to cover the costs of slightly lowering their plans while paying for the towers will raise googles. Nothing free in life someone has to pay for it.

Posted by: bob at November 26, 2007 05:32 PM

$2 for 411 calls?

You obviously haven't heard of 1-800-GOOG-411; see: http://www.google.com/goog411/

All the 411 calls you want for free!

The G-guys are already impacting the pockets of the cellular companies...

Posted by: Phil at November 26, 2007 05:53 PM

My wife would get a G-Phone in an instant, especially if it is Wi-Fi enabled. That way, it will work with Google's inevitable worldwide Wi-Fi network of G-Spots. She always says I have trouble finding hers myself!

Posted by: Tommy G at November 27, 2007 11:14 AM

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