The American Internet-giant Google is getting ready to announce its new software solution for the manufacturers of the electronics. The manufacturers will be able to produce so-called Googlephones. The release of the series of these mobile devices is due in the middle of 2008.

The phones will come with the inbuilt applications including the means of connecting to Google Maps, the video sharing service YouTube, and, of course, to the e-mail client Gmail. Th major advantage of the new phone is the software platform which is absolutely open. The soft developers will get a chance to create the applications of any level of complacency for the devices. It is most likely that the phone will be manufactured by HTC and LG Electronics, and the spreading of the device will be the part of T-Mobile, Orange and 3. The company’s representatives avoided commenting on the information.

The rumor about the emergence of the Googlephone spread at the end of the previous year, when the press was talking about the collaboration between Google and the French mobile operator Orange. The phone was to have the increased features in the Internet search. The further buzz about the appearance of the device got to spring here and there enviable permanency. There were also the photos of the device the major part of which consisted of a sensor screen. Instead of the fact that the buzz about the phone has been on for quite a time, no official info has been announced.

In the middle of the previous month Tech Daily wrote that the Taiwanese manufacturer HTC is working on a batch of phones (about 50 000 copies), which will work on Google’s OS. According to the experts the phones  are not for retailing but for the developers to learn the principles of the OS. No official confirmation has been received yet.

The analysts say that after the company has announced the plans for the manufacturing of its own phone, the cost of its shares might exceed $700. At the moment is makes around $640.

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The companies-manufacturers of mobile devices resort to various tricks in order to increase the sales levels. The newspaper Los Angeles Business decided to find out what factor is the determining one while choosing a new mobile phone.

The major criterion named by the respondents was the coverage zone size – 34%. The other factors were distributed like that:

• Mobile operator - 20%
• Price - 20%
• Software and OS – 10%
• Phone settings – 5%
• Design of the phone – 5%
• Wi-Fi and Internet settings – 4%
• Other factors – 4%

And below there are a few commentary by the respondents:

“If the operator doesn’t offer a good service, it doesn’t matter how cool the device is.”

“The quality of the sound and the coverage zone is much more important than anything else.”

“Mail, text messages and video – all these services must work no matter where I am.”

Moreover, the respondents paid special attention to the fact how the device affects their health. You see that the producers should consider the customers’ opinion if they want to be successful at the market.

The basic thing about the US mobile market is that the phones are sold in bundles with operator contracts. Sometimes a particular phone is available only at one particular operator. That’s why the choice of a mobile device for an American turns into the choice of the operator. This fact explains why the quality of the operator is rated so high among the respondents. It seems that if the phones were not “tied” to the operators, the results might have been quite different.

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In 2006, having 400 million users, China’s mobile market is the world’s No. 1 cell-phone market in size.

China’s mobile subscriber base exceeded 400 million in 2006, and mobile penetration is estimated to be slightly more than 30 percent, analysts say.

The analysts claim that the number of Chinese subscribers has reached 400 million with 30% of mobile penetration. Still the figures differ with various analysts. But the fact that is evident is that the numbers are constantly growing.

Forecasts:

• Informa Telecoms & Media - 600 million by 2007
• Wireless Intelligence - 509 million
• Gartner - 511 million
• Portio Research - 519 million

The Chinese market is a great magnet to operators, device manufacturers and content providers because of its size.

China research director at Gartner, Sandy Shen, claims that the growth of the market in China will come from agricultural and badly developed regions as well as from replacement sales.

At the moment SMS is the most popular mobile usage, although the new application are coming such as 2D barcode, instant messaging, GPS. Shen said that NFC (near-field communication) is also coming soon.

Although the practical benefit of 2D barcode and NFC is incredible, the penetration of the technologies is a long and gradual process due to the “”fragmentation of the technology and phone platforms, and complications in the business model.”

Shen stressed the fact the major portion of the revenue up to 2010 will come from SMS and ringtone services

The analyst explained that SMS and ringtone services are easy to use, moreover, they are more affordable than high-end applications. The fact is true, SMS can be used on all types of mobile devices and at the moment all the providers support such service.

Portio Research claims that China market is the world’s leading one in respect for SMS with over 451 million SMS sent in 2006 (more than 67% increase compared to 2005).

The whole world is waiting how China will react to the introduction of the homegrown 3G standard TD-SCDMA.

Sandy Shen commented:

“This will indicate how successful [or not] the technology will be, and when the official 3G licenses will be issued. After that, we will see other 3G technologies like W-CDMA and CDMA2000 being deployed and compete with TD-SCDMA.”

Shen expects the development of the mobile network to cause some kind of industry reorganization. For instance, she says that it is unlikely that China Unikom will control both CDMA and GSM networks.

China Unikom and China Mobile are the two major mobile operators in the country (with China Mobile having 67.9% share of the market).

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