facebook rss twitter

Google creates apparent MVNO in Spain

by Scott Bicheno on 23 September 2011, 14:25

Tags: Google (NASDAQ:GOOG)

Quick Link: HEXUS.net/qa7es

Add to My Vault: x

Virtual threat

Ever since Google launched the Nexus One handset there has been talk about whether the search giant is friend or foe for mobile operators. Google tried to create a direct channel for its own-branded phone, effectively cutting operators out of the loop, but it soon flopped.

More recently it has been handset makers that have had reason to feel threatened by Google's mobile ambitions, with its acquisition of Motorola. As HTC showed with the Nexus One there is a massive advantage to getting early access to new versions of Android, and the assumption is that Moto will be the sole recipient of such largesse from now on.

Now a Spanish source, brought to our attention by SlashGear, reveals that Google is getting in the MVNO (mobile virtual network operator) game. We were lucky enough to get a translation of this blog entry (thanks Dad), and it looks like Google is handing these SIMs out to engineers and partners in order to help them with testing. A Spanish forum that commented on this post reckons a number of networks are being used by Google for this purpose.

As ever with MVNOs, the main operators don't have to go along with the deal if it doesn't suit their purposes, but this is the first indication we've seen that Google might be thinking of getting in the telco game.

Google already owns a platform and many mobile services, and is in the process of acquiring a handset-maker. Becoming an MNVO could make Google the first owner of the complete value stack, and that would be an interesting precedent.

 

 



HEXUS Forums :: 3 Comments

Login with Forum Account

Don't have an account? Register today!
Prehaps they are NFC enabled sim's?

Imp
Bring it on !….
I'm not sure this means anything really. No network operator is going to let Google piggyback on their network for a commercial operation. All they have done is set up an MNVO for their employees.

Still, if they do move in to the network market then I worry for the future of the industry. True, Google would give the network operators some much needed competition and end the days of them running things like a cartel, but where does that stop? Would they make the decision that the network doesn't need to make direct profit, killing any possibilities of fair competition? Would the network be data only with Google Voice and Talk for communications? Would it only run Android handsets?

Google as a mobile network operator would worry the industry deeply. Cheap tariffs, free Android handsets and unlimited/large data allowances? At the very least it would seriously concern Apple, Microsoft and the networks. At worst the free Android phones would be Google's in-house ‘Motorola’ models and they have other manufacturers scared as well. In 10 years could we see Apple owning Telefonica and Microsoft owning Vodafone (inc. Verison) and Nokia, with everyone else struggling/out of business? I don't think Apple or Microsoft have any interest in owning a network, but if they had to in order to produce tariffs competitive with Google's then I have no doubt that they would. Three companies controlling the whole of mobile? No thanks.