The Wall Street Journal-20080213-Google-s Android Shows Off Its Possibilities
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Google's Android Shows Off Its Possibilities
Full Text (512 words)Associated Press
A handful of chip makers showed this week how a mobile device running Google Inc.'s Android operating system might look.
Consumers won't get a chance to buy such a phone for several more months at least. The demonstrations were strictly using prototype phones.
But the unveilings at an industry conference in Spain marked a big step in Google's campaign to plant a stake in the wireless world. While Google hasn't yet announced a phone to rival Apple Inc.'s iPhone, it is hoping to sell search advertising to people using cellphones, augmenting its revenue from ads delivered to their computers.
Android is based on open-source code, unlike competing operating systems from Microsoft Corp., Research In Motion Ltd., Palm Inc. and Symbian, owned by Nokia Corp., the world's largest mobile phone maker, and other major phone makers.
Google has lined up about 30 phone, chip and software companies to help develop momentum behind Android.
Among the companies that demonstrated the use of Android on Monday at the Mobile World Congress show in Barcelona was Texas Instruments Inc., the largest maker of chips for cellphones. Its prototype offers "one-button access" to Web browsing, email, messaging and video.
Greg Delagi, general manager of Texas Instruments' wireless business, said increased audio, video and global-positioning functions and a better Web-surfing experience will drive handset sales, which would help Dallas-based TI sell more chips.
"People are doing crazy new things with mobile communications," Mr. Delagi said. "I want you to buy a new cellphone because you've absolutely got to have some new capability."
Nokia's Symbian has a large chunk of the world-wide operating-system market for upscale smart phones, but the consumer smart-phone market has picked up in the past year with the popularity of the iPhone and some less-expensive devices.
"Google has a significant opportunity because of the lack of a dominating player in the market for consumer operating systems for smart phones," said Hughes de la Vergne, an analyst with technology research firm Gartner Inc. He estimated Symbian's share of the U.S. market at 2% to 3%.
"The critical aspect will be getting prices of devices down," said Mr. de la Vergne, adding that as an open-source system, Android might have cost advantages. He said Google would also benefit by having major North American phone companies such as Sprint Nextel and T- Mobile in its alliance.
Google, which announced the coalition to build Android in November, didn't make anyone available to comment.
In a statement, the Mountain View, Calif., company said the demonstrations of Android in Barcelona were "exactly the kind of momentum we hoped the announcement and the platform would generate, and we're excited to see that people are excited about Android."
There was a lot of buzz last fall that Google would announce it was making a phone to compete with the iPhone. The announcement instead of a software package and alliance of developers came as a surprise. But at the time, Chief Executive Eric Schmidt left open the possibility that Google could eventually make its own phone driven by the new operating system.
