Google, the world’s top search engine, seems to have ambitions that are far reaching. Through a consortium with T-Mobile and Sprint, Google will now run a wireless business offering mobile phone plans to consumers. A report published in the Wall Street Journal on Wednesday reveals that Google’s wireless service will “resell” airtime that Sprint and T-Mobile provide within their networks.
The company’s significant involvement with smartphones through Android platform, the highest used in the world, has already made Google an able player in the cellular network business. All it has to do is exploit the competition between T-Mobile and Sprint and achieve rock bottom prices.
There are speculations within the industry analysts on what impact Google’s entry into the wireless business will have on the market. There are implications of price reduction and increased network speed for consumers. Dominating forces like AT&T and Verizon may be inclined to offer better packages to retain their customers.
Google is aiming at becoming an MVNO (Mobile Virtual Network Operator) that uses its own brand to sell wireless services without managing the network. MVNO is much like a platform where service providers and buyers meet. Its partners will provide the infrastructure and Google will bring in customers.
Google is not yet registered as a wireless carrier in any of the states; obtaining one will be necessary to operate as an MVNO. It is not clear whether the tech giant will be adding new technology to improve services provided by its partners. Nevertheless, by integrating a huge customer base, Google definitely will be able to offer attractive packages to consumers.
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