Android Has Arrived – A Plus for HTC

Unlike the iPhone, Google’s Android does not come with a built-in fan base. Google and T-Mobile will have to market hard to get people to buy the new phone.

Placing the Goog le brand on the phone is a first for the industry. I don’t count the iPhone in that category because Apple is a manufacturer. Stamping a handset with the name of the manufacturer and the carrier is standard operating procedure. However, stamping the name of a software company or search engine company is a new one. The branding is smart marketing play – it already has some folks talking. The question is do consumers care if it is Google or not?

It is possible that the Google brand will carry in the marketplace. However, if this handset does not debut with big numbers, what is left of Wall Street, will hammer Google and T-Mobile. The telecom business and Wall Street needs some good news. The question is will Android really excite users?

At this moment, T-Mobile, Google, and HTC are saying the new phone will have features similar to the iPhone and the BlackBerry. The new HTC phone is expected to have a large touch-screen, a track-ball for navigation and a swivel-out full keyboard. The new phone will run the Android operating software by Google. Okay, it looks like two popular handsets. Great – so WHAT!!??

The answer is that Google is a unique entity that has come to cellular. The real value will be in the handset’s access to third party applications.

I give T-Mobile a lot of credit for getting Google to come up with resources toward development of the phone. By reducing costs=2 0to the carrier, Google increases the carrier’s margins and enhances the business relationship. It is also obvious Google wants this to make money quickly and that it is looking at a volume model - Very smart. Google has obviously learned from Apple’s mistake.

All that being said - I think the really big winner is HTC. HTC is about to go from up and coming player to the big leagues. Aside from T-Mobile, the Chinese and Sprint are stepping into the Android fray. If HTC does this right, it might be able to sign deals with Sprint and China Mobile.