Year in review: Apple and Google, telecom's new stars
Moves made by the two companies in 2007 could set the stage for the future of the telecommunications market.
Apple and Google, telecom's new stars
It was Apple and Google--not the traditional phone companies AT&T and Verizon Communications--that took center stage in the telephony market in 2007.
In January, Apple announced the iPhone and named AT&T its exclusive carrier in the U.S. For almost six months, anticipation and hype surrounding the iPhone grew into a frenzy until the June 30 launch.
With an innovative touch screen that allows people to shrink and magnify Web pages with the pinch of their fingers, the iPhone
But the iPhone wasn't without problems. Some users initially had trouble signing up for service. And then there was the $200 price cut a few months after the product debuted that left many early adopters seething. By far the
In addition to Apple, Google also made headlines in the mobile market. Early in the year, Google joined the debate over rules for the Federal Communication Commission's upcoming 700MHz spectrum auction. The auction, which is set to begin January 24, reallocates wireless spectrum licenses that have been used to deliver analog TV. This spectrum is viewed as the industry's best hope to usher in a new era of wireless broadband service.
Google was instrumental in getting the FCC to adopt auction rules that would ultimately give consumers more choice in the devices they use on these new networks. And in November, Google CEO Eric Schmidt committed the company to bidding in the auction, promising to spend at least $4.6 billion on licenses.
Exactly what Google plans to do with the spectrum if it wins licenses is still unknown. But
Getting into the spectrum auction wasn't the only wireless initiative Google was cooking up in 2007. Soon after the iPhone launch, rumors of a Google phone surfaced. And in October, Google revealed not a phone, but a new mobile operating system that could be used by handset makers and mobile-phone operators.
This new software, coupled with its own wireless network, would not only give Google the ability to put its brand on millions of mobile devices, it would allow the company to control the Internet experience on these devices. In a nutshell, Google could determine the next-generation wireless network.
This is a huge change not only for Google, but the entire wireless industry. From the beginning, carriers have controlled every aspect of the wireless experience. In the U.S. market, carriers determine which phones can be used on their networks and even which features will be enabled. And they decide which software or applications can be accessed. Depending on what happens with the spectrum auction and how Google's software initiative fares, the company could become a major player in telecommunications in the next several years.
To be fair, moves by Apple and Google in 2007 haven't revolutionized the wireless phone market just yet. AT&T and Verizon Wireless are still the dominant carriers. And Nokia is still the No. 1 mobile-phone maker. But change is on the horizon, and small steps are already being taken. Only a few weeks ago, Verizon said it would
In the final analysis, 2007 was just the beginning, which only heightens anticipation for what's to come in 2008 and beyond.
2007 Highlights
Finally, Apple answers call for iPhone
After years of speculation, Apple reveals its iPod mobile phone, as well as a home networking device, at Macworld.
Apple's iPhone a threat to mobile operators?
The iPhone could prove to be tough competition for Verizon Wireless' and Sprint Nextel's mobile music and video services.
Will unlocked cell phones free consumers?
Handset makers in the U.S. are dabbling in selling phones directly to consumers, but will the model be attractive enough to consumers?
FCC to reveal spectrum auction plan
The Federal Communications Commission will unveil some of the rules it will use in the upcoming 700MHz spectrum auction.
Switching carriers for the iPhone
AT&T competitors could take a hit in the next few quarters as enthusiastic Apple fans switch providers for the hyped device.
Unlock the cell phone? It's a high-stakes debate
Allowing consumers to mix and match wireless gadgets and service providers could spark innovation--and compromise security.
Google bets on mobile market
Mobile is the next frontier for Google, but how will it straddle the line between partnering and competing with major cell phone operators?
FCC approves some open wireless requirements
Some critics argue the commissioners should have gone further and others say they should have let market forces prevail.
Google's battle for wireless spectrum
Chris Sacca, head of special initiatives, talks about the company's plans for the upcoming 700MHz spectrum auction.
Citywide Wi-Fi isn't dead yet
Even as EarthLink is scaling back deployments, some cities and regional networks are pushing forward with plans to build citywide Wi-Fi networks.
Sprint's WiMax dilemma
Sprint Nextel's ousted CEO may not be the only casualty as unhappy investors pressure the company to dump plans for a next-generation network.
In search of the Google phone
Experts see Google partnering with a handset maker for bundled software that will enable everything from IM and maps to monitoring blood pressure.
Google sends Android to conquer mobile world
Analysts expect Google to launch a Google phone now that it has an alliance of supporters behind its Android mobile platform.
Verizon opening door to mobile future
Company's decision to open network to different devices and applications means it will have to give up iron-fisted control of its network.
Google versus the telecoms
If Google wins the 700MHz wireless spectrum auction in January, expect Google-branded phones galore.
Additional Headlines
Forget the triple play--wireless ups the ante
Sprint Nextel continues network build despite financial woes
Handset makers get in on location services
Vonage to pay $58 million in Verizon patent case
Icahn's showdown with Motorola reaches final hour
Import ban on 3G handsets could hurt industry
Splitting up with your cell phone carrier
Broadcom, Verizon Wireless reach 3G phone deal
EarthLink's woes put free muni Wi-Fi in peril
Bringing smart phones to the masses
Apple and Google, telecom's new stars
It was Apple and Google--not the traditional phone companies AT&T and Verizon Communications--that took center stage in the telephony market in 2007.
In January, Apple announced the iPhone and named AT&T its exclusive carrier in the U.S. For almost six months, anticipation and hype surrounding the iPhone grew into a frenzy until the June 30 launch.
With an innovative touch screen that allows people to shrink and magnify Web pages with the pinch of their fingers, the iPhone
But the iPhone wasn't without problems. Some users initially had trouble signing up for service. And then there was the $200 price cut a few months after the product debuted that left many early adopters seething. By far the
In addition to Apple, Google also made headlines in the mobile market. Early in the year, Google joined the debate over rules for the Federal Communication Commission's upcoming 700MHz spectrum auction. The auction, which is set to begin January 24, reallocates wireless spectrum licenses that have been used to deliver analog TV. This spectrum is viewed as the industry's best hope to usher in a new era of wireless broadband service.
Google was instrumental in getting the FCC to adopt auction rules that would ultimately give consumers more choice in the devices they use on these new networks. And in November, Google CEO Eric Schmidt committed the company to bidding in the auction, promising to spend at least $4.6 billion on licenses.
Exactly what Google plans to do with the spectrum if it wins licenses is still unknown. But
Getting into the spectrum auction wasn't the only wireless initiative Google was cooking up in 2007. Soon after the iPhone launch, rumors of a Google phone surfaced. And in October, Google revealed not a phone, but a new mobile operating system that could be used by handset makers and mobile-phone operators.
This new software, coupled with its own wireless network, would not only give Google the ability to put its brand on millions of mobile devices, it would allow the company to control the Internet experience on these devices. In a nutshell, Google could determine the next-generation wireless network.
This is a huge change not only for Google, but the entire wireless industry. From the beginning, carriers have controlled every aspect of the wireless experience. In the U.S. market, carriers determine which phones can be used on their networks and even which features will be enabled. And they decide which software or applications can be accessed. Depending on what happens with the spectrum auction and how Google's software initiative fares, the company could become a major player in telecommunications in the next several years.
To be fair, moves by Apple and Google in 2007 haven't revolutionized the wireless phone market just yet. AT&T and Verizon Wireless are still the dominant carriers. And Nokia is still the No. 1 mobile-phone maker. But change is on the horizon, and small steps are already being taken. Only a few weeks ago, Verizon said it would
In the final analysis, 2007 was just the beginning, which only heightens anticipation for what's to come in 2008 and beyond.
2007 Highlights
Finally, Apple answers call for iPhone
After years of speculation, Apple reveals its iPod mobile phone, as well as a home networking device, at Macworld.
Apple's iPhone a threat to mobile operators?
The iPhone could prove to be tough competition for Verizon Wireless' and Sprint Nextel's mobile music and video services.
Will unlocked cell phones free consumers?
Handset makers in the U.S. are dabbling in selling phones directly to consumers, but will the model be attractive enough to consumers?
FCC to reveal spectrum auction plan
The Federal Communications Commission will unveil some of the rules it will use in the upcoming 700MHz spectrum auction.
Switching carriers for the iPhone
AT&T competitors could take a hit in the next few quarters as enthusiastic Apple fans switch providers for the hyped device.
Unlock the cell phone? It's a high-stakes debate
Allowing consumers to mix and match wireless gadgets and service providers could spark innovation--and compromise security.
Google bets on mobile market
Mobile is the next frontier for Google, but how will it straddle the line between partnering and competing with major cell phone operators?
FCC approves some open wireless requirements
Some critics argue the commissioners should have gone further and others say they should have let market forces prevail.
Google's battle for wireless spectrum
Chris Sacca, head of special initiatives, talks about the company's plans for the upcoming 700MHz spectrum auction.
Citywide Wi-Fi isn't dead yet
Even as EarthLink is scaling back deployments, some cities and regional networks are pushing forward with plans to build citywide Wi-Fi networks.
Sprint's WiMax dilemma
Sprint Nextel's ousted CEO may not be the only casualty as unhappy investors pressure the company to dump plans for a next-generation network.
In search of the Google phone
Experts see Google partnering with a handset maker for bundled software that will enable everything from IM and maps to monitoring blood pressure.
Google sends Android to conquer mobile world
Analysts expect Google to launch a Google phone now that it has an alliance of supporters behind its Android mobile platform.
Verizon opening door to mobile future
Company's decision to open network to different devices and applications means it will have to give up iron-fisted control of its network.
Google versus the telecoms
If Google wins the 700MHz wireless spectrum auction in January, expect Google-branded phones galore.
Additional Headlines
Forget the triple play--wireless ups the ante
Sprint Nextel continues network build despite financial woes
Handset makers get in on location services
Vonage to pay $58 million in Verizon patent case
Icahn's showdown with Motorola reaches final hour
Import ban on 3G handsets could hurt industry
Splitting up with your cell phone carrier
Broadcom, Verizon Wireless reach 3G phone deal
EarthLink's woes put free muni Wi-Fi in peril
Bringing smart phones to the masses