Google developing new mobile phone - Rumour

[MarketClusters - 16 Mar 2007]

Google is rumoured to be developing a new mobile phone with some reports even suggesting that the head of Google in Spain and Portugal, Isabel Aguilera, has confirmed the suspicion. The rumours started when Polaris Venture Partners' technology partner Simeon Simeonov described the technological characteristics of the new phone in detail on his blog. According to Simeon Simeonov, a source informed him that the handheld device will be similar to a Blackberry and will run C , Java as well as incorporate VoIP capabilities.

Google has also been actively engaging in acquisitions and partnerships with technology companies that are already active in the mobile phone and handheld device business. First, it secretly acquired Skia, a company that has developed a graphics engine for handheld devices that renders 2D graphics. Then it bought Reqwireless, a mobile applications developer, before acquiring handheld devices manufacturer Android in 2005. During Q4 last year reports suggested that Google was also in discussions with Orange. The latest development involves a partnership between Google and Samsung for the provision of services such as Google Search, Google Maps and Gmail to Samsung's mobile phones, with further rumours of a joint mobile phone development project called 'Switch'.

Reinforcements to the rumour are being fuelled by Google's recent job postings, specifically looking for engineers and analysts specialising in the telecoms sector, according to Esefania Perez from Spanish news website Noticias.com. Isabel Aguilera attended the Internet Business Strategy and Integration conference organised by the Association for Management Progress in the Mediterranean and explained to Noticias.com that if Google engineers dedicate 70% of their time to "new business development in the areas of search and advertising" and 20% to develop "new products that support the development of such new business", the remaining 10% is dedicated to the development of other products "that will one day be relevant to the company's business offering", including a mobile phone enabling users to access information