Google’s Self-Branded Phone Coming This Year
Naturally, this led to fragmentation of different OS versions, which is currently the main problem for Google. However, this might be changing soon.
The Telegraphs reports that the company plans on offering its own, self-branded smartphone by the end of the year. This kind of smartphone marks the company’s move into Apple-dominated market of phones with an incredibly tight connection of hardware and software. Even though this move seems risky, there are a couple of well-founded reasons for a self-branded smartphone to happen.
Interestingly enough, this doesn’t mean that Nexus phones will disappear. Numerous credible sources are saying that HTC is this year’s contender for partnership with the Web search giant. However, Nexus device makers don’t actually make much money out of this deal.
Google keeps a 15 percent cut of sales, which means that partners are usually paid upfront, through a deal. HTC has reported a $138.6 million loss for the last three quarters, which is actually an improvement over the $265 million loss in the previous quarter.
With the knowledge of designing and creating popular Android smartphones, it is natural to assume why this cash-strapped company is entering a deal with Google. This kind of cash could keep HTC alive for a while, at least until we see yet another attempt of creating and selling the next Android-powered flagship.
When it comes to the company’s self-branded phone, this could be seen as another attempt to regain full control of Android’s troubling fragmentation. The Telegraphs says that Google will take full control over “design, manufacturing and software”.
No other details are made public, even though this goes hand-in-hand with Google CEO’s intentions to invest more efforts into phones. Back in April, it was reported that the former president of Motorola, Rick Osterloh, was returning to Google to take over hardware division. However, there were no reports on an own-branded phone.
Another important reason comes from the company’s revenue source. Surprisingly, Google makes most of its mobile service revenue from iOS devices. This puts Apple in a very strong position, since it could easily cut a large stream of income if the company decides to steer away from its relationship with Google.
This is why the Web search giant plans to take a position similar to Apple’s, by producing a phone with a full control over software and hardware. This would allow the company to control the software, securing the future of services like the Google search engine and Google Play app store that runs on it.
We shouldn’t wait for too long to see if these reports are true, since it’s said that Google is currently in talks with mobile operators. The current plans are predicting the availability of the self-branded phone by the end of the year.
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