The competition on the mobile network market in the United States could get much harsher, as Google announced a detailed plan of running its own mobile phone network.
Google won’t be building the infrastructure from the beginning, as it will use the existing wi-fi spots, renting data and voice capacity from Sprint and T-Mobile, two important players on the mobile operator’s market. The project Fi, as it is called, will first be offered exclusively to the owners of Nexus 6 model. The ultrafast broadband service offered by the company, Google Fiber, is predicted to completely change the telecommunication scene in the United States of America.
The competition will surely bring better service, as Time Warner Cable and Comcast already reported on planning to offer better conditions and higher speeds to existing clients without any extra charge. Google bought the infrastructure previously owned by the companies that went under, and it also has its own fiber optic cables, enabling Google to have full control in the field.
Some experts predict that by using a mobile virtual network, which depends on the equipment of direct competition, is limiting the eventual success of the Project Fi.
HIS Technology consultant, Ian Fogg stated that “The example of MVNOs in the US and elsewhere suggests that it’s hard for their operators to dramatically change the industry because of their nature,” but adding that “The past isn’t always a guide to the future.” He continued explaining the situation, by saying “No-one would have thought that a handset manufacturer could transform the mobile industry by teaming up with one network – but that’s what happened with Apple and AT&T when the iPhone launched.And Google itself has repeatedly shown that it is capable of changing the direction of an industry by entering it.”
There already some Mobile virtual network operators on the market, including Red Pocket Mobile, Tesco Mobile, Virgin Mobile and GiffGaff.
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