Google has invested hundreds of millions in a cell phone project--developing prototype handsets, making overtures to operators, such as T-Mobile USA and Verizon Wireless, and talking over technical
specifications with phone manufacturers--in expectations of launching devices customized to its products.
The plans are a double-edged sword for wireless operators. Google's powerful
brand and its popular Web services--including its search engine, email and a new mobile Web browser--could help operators sign up more subscribers to data packages. However, operators have been wary
about losing control over the mobile-ad market.
The long-rumored Google phones are still in the planning stages and wouldn't be available to consumers until next year at the earliest.
"What this really boils down to is a battle for the mobile ad dollar," says Verizon Wireless CEO Lowell McAdam.
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