Nexus One- Smartphone revolution still on hold

Nexus One: Smartphone revolution still on hold
Google's Nexus One (complete coverage) is just a phone. It's a good phone, but does it break new ground for consumers? Not so much. Looked at in context of the history of mobile phones, it's a solid step in Google's continuing assault on new markets in general and on Apple in particular, but it's not revolutionary the way the iPhone was, and not, to my mind, worthy of the frenzy that I awoke to this morning on the blogs. Of course, the Nexus One has solid consumer advantages over Apple's phones. In the U.S., it doesn't run on AT&T, for one thing--you can get it on T-Mobile (now), Verizon (in the spring), or unlocked. It looks like it has a better screen, and it has active noise cancellation and voice control, both very cool. It has nice integration with online services like Google Maps, Facebook, and Picasa. For industry watchers, the Android platform's openness is important. Developers don't have to funnel their apps through the Google, and the platform itself is open to other manufacturers, which can lead to rapid product innovation.But none of these features is as important to the industry as the iPhone was. The iPhone was the first smartphone to really bring consumers to the mobile Web. The Android phones are riding that wave. The iPhone's second act--the App Store--changed the way applications are distributed and priced. Android is riding that as well. The iPhone is also a great iPod and iTunes client, and Android doesn't yet offer a competitive experience.The Nexus One, as shown on Google's product page.GoogleSo is the Nexus One a revolution? No. And it's a shame, since Google could--still can--upset the mobile phone market to benefit consumers. This revolution would be economic. With Google Voice, its end-run around traditional phones and voice mail, and with its newly acquired VoIP platform Gizmo5, Google could create a mobile phone infrastructure that upends the traditional lock-in and cost structure that cellular companies impose on consumers. Of course, someone still has to run the data networks and get paid for that, but we've seen businesses that hide that relationship from consumers already. MVNOs (mobile virtual network operators) like Virgin Mobile resell other company's cellular bandwidth, and connected e-book readers like the Kindle and Nook hide their mobile carrier relationships as well.Google execs have said they have no plans to compete with their carriers, and it would be economically unsound for the company to do so now, when the company needs carriers for bandwidth, marketing, and distribution. But as the Apple iPhone has demonstrated, on the marketing side that need is diminishing. With the Nexus One, Google is pulling an Apple. It's pushing the carrier relationships down the marketing stack by running its own Nexus One store, on which you choose your phone first, and the carrier second, and where you pay for the new product with your Google account. I'd like to see Google take over the monthly billing and let its users switch carriers at will or manage the reselling and switching of bandwidth effectively so users don't know or care which carrier they're on (or none at all--think Wi-Fi and VoIP). Freeing U.S. consumers from the yokes of the carriers would be the real revolution. Selling a$529 unlocked Nokia-like version of the phone is a tiny step forward, but it's not a mass-market solution to carrier woes. Google could do more.This content is rated TV-MA, and is for viewers 18 years or older. Are you of age?YesNoSorry, you are not old enough to view this content.Play


By giving credits, Apple gets credit

By giving credits, Apple gets credit
Some iPhone 3G S customers are having trouble getting their new handhelds activated.An Apple e-mail sent to those being affected by the issue said that it could take up to 48 hours to complete the device's activation.The e-mail claims the delay was due to "system issues" and "high activation volumes."It started after the iPhone 3G S was released last Friday.But not all is lost.Apple told affected customers that it would offer them a $30 iTunes Store credit for "the inconvenience this delay has caused."Apple has a proven record of trying to do what's right after it makes mistakes; this is no exception.Last year, when the writers' strike brought the entertainment industry to a halt, Apple issued a refund to all customers who purchased season passes for their favorite television shows.It didn't refund them for the entire season, but it paid them back for the episodes that were promised but not delivered.After making the controversial decision to drop the price of the first-generation 8GB iPhone from $599 to $399 in 2007, Apple gave early adopters who paid the original price a $100 Apple Store credit."Even though we are making the right decision to lower the price of iPhone, and even though the technology road is bumpy, we need to do a better job taking care of our early iPhone customers as we aggressively go after new ones with a lower price," Apple CEO Steve Jobs wrote at the time."Our early customers trusted us, and we must live up to that trust with our actions in moments like these."When iPod battery lives weren't as long as Apple claimed they would be in 2005, and class action lawsuits were filed, the company offered extended warranties and $50 store credits to consumers who issued complaints.Apple has shown a track record of responding to its mistakes.A $30 credit might not be ideal for customers, but it's better than nothing, isn't it?How many times have we dealt with tech companies that do nothing to make a situation right?On numerous occasions, I've called tech support on Windows PCs, and after trying to perform some basic troubleshooting, representatives from Dell, Hewlett-Packard, and others told me to install the Windows Recovery disc and start anew.When Twitter was down so often last year, all we heard were excuses and promises of better service.It came, but in the meantime, we were left wondering what other alternatives were available.The tech industry is filled with too many companies offering too many products that don't offer what we expect.In many cases, those problems are ignored.But Apple is one of few companies that doesn't ignore its problems.Unlike Palm, which has stayed relatively silent on its Pre's battery problems, Apple generally addresses issues with its products and gives a little something back for our trouble.It might not be ideal, but it's better than the alternative.So say what you will about the iPhone 3G S activation problems, but in handling issues like this, the company should generally get credit for giving it.Check out Don's Facebook profile, Twitter stream, and FriendFeed.