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Verizon Wireless teams with Google to offer Android smartphones

IT Industry - Strategy

Verizon Wireless - the largest mobile network operator in the US with 290 million customers - has given the Android smartphone platform a major boost by teaming up with Google to offer Android-based smartphones to customers on its CDMA EV-DO network.

Google and Verizon Wireless (a 55/45 joint venture between US fixed line telco Verizon and Vodafone) will jointly develop Android-based smartphones that feature their own applications as well as offerings from third-party developers. They will be sourced from a number of manufacturers and the first products are expected to hit the market within weeks.

The phones will ship preloaded with applications from Verizon Wireless, Google and third-party developers and will have access to the full breadth of applications available from the Android Market, including the controversial Internet call-routing service Google Voice.

Google Voice is Google's phone and voicemail management service that gives users one phone number that can be set to ring any or all of the user's 'regular' phones -work phone only during office hours, home phone only in the evening, cellphone at all times, or any other combination. It has been banned by Apple from the iPhone .

When asked about this at the press conference announcing the tie up with Google, Verizon Wireless CEO, Lowell McAdam, was reported saying: "Either you have an open device or not, This will be open and we expect to support that application when we bring these devices to market."

Google Voice does not deprive mobile operators of voice revenue - all calls are routed normally, but by passing calls through its servers Google gains control of the traffic and the opportunity to deprive carriers of value added services revenues. The potential conflict resulted in Google CEO, Eric Schmidt, resigning from the Apple board.

* AT&T still blocks Google Voice but has just announced that it will allow iPhone 3G users to run VoIP applications over its cellular data network - previously they could run VoIP apps only over WiFi. Ralph de la Vega, president and CEO of AT&T Mobility and Consumer Markets,  said: " "Today’s decision was made after evaluating our customers' expectations and use of the device compared to dozens of others we offer," "Today’s decision was made after evaluating our customers' expectations and use of the device compared to dozens of others we offer." According to Light Reading, AT&T already offers devices that allow VoIP applications on 3G, 2G, and WiFi networks.

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