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News & ArtsThursday, July 29, 2010
Media Is the Future of News on Your Phone?
Posted by Paul Constant on Thu, Jul 29, 2010 at 3:30 PM
Google CEO Eric Schmidt thinks it might be:
According to CEO Eric Schmidt, Google has positioned itself to make $10 billion dollars or more per year in the mobile business, from things like subscription news. "If we have a billion people using Android, you think we can't make money from that?" He went on to say that it would only take 10 dollars per person, per year, and among other things, Google might earn that money from selling access to digital content from newspapers.
1
Isn't this slightly ironic, seeing as how just the other day Google pulled the plug on their hugely unsuccessful Nexus phone?
2
@1 a fair point, and paints this announcement as something of a counter-move to that. His pricing comment reminds me of a hugely depressing survey I did for the New York Times the other day asking how I get news, who from, and as a huge reader of theirs how much I'd pay for any of a bajillion online/app/paper combos they put up as examples.
I had the sense they're still quite uncertain how to carry out their plan to charge for online content.
I had the sense they're still quite uncertain how to carry out their plan to charge for online content.
3
@1 Not really, since google had already put Android on the open market via several hardware purveyors and wireless carriers it was redundant to sell their own device. That's why the Nexus One failed. Had they started with their own device instead, it may have worked. You can't put the genie back in the bottle.
Their real strategy all along with Android was to give away the software, instead of charging $15(or so) per phone the way Microsoft does, and make their money on advertising, and soon more services and App royalties, the way they make money on everything they do. That's why Microsoft isn't trying, they're just restricting what systems Windows Phone 7 can go on in an effort to improve the functionality and user experience of their mobile OS. They can't compete on price with Android, so they have to try and beat them for consistency across devices and overall experience.
Microsoft let Windows Mobile get too fractured, and that's starting to happen with Android, and if Google isn't careful a little down the line they could end up with frustrated and apathetic users switching to iPhones, or whatever else is out there.
Their real strategy all along with Android was to give away the software, instead of charging $15(or so) per phone the way Microsoft does, and make their money on advertising, and soon more services and App royalties, the way they make money on everything they do. That's why Microsoft isn't trying, they're just restricting what systems Windows Phone 7 can go on in an effort to improve the functionality and user experience of their mobile OS. They can't compete on price with Android, so they have to try and beat them for consistency across devices and overall experience.
Microsoft let Windows Mobile get too fractured, and that's starting to happen with Android, and if Google isn't careful a little down the line they could end up with frustrated and apathetic users switching to iPhones, or whatever else is out there.
4
I hope they can make money out of something, since their stock price is pretty close to what most people bought it for at opening.
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