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Same-Day Analysis

T-Mobile and HTC Launch First Google Android Phone

Published: 24 September 2008
Google's long-awaited entry to the Smartphone market has finally debuted with the launch of the HTC G1 with an exclusive deal on T-Mobile in the United States and abroad.

Global Insight Perspective

 

Significance

HTC. Google and T-Mobile are all winners with the launch of a flagship handset

Implications

HTC and T-Mobile will gain kudos and market share from this product

Outlook

Google gains an entry into a new field which will help it to maintain its dominance in search and online applications and extend into the mobile space

The first handset to use the Google/Open Handset Alliance Android platform has been officially launched in New York with the G1 handset produced by up and coming handset manufacture HTC set for an exclusive availability on the T-Mobile network. It will be available in the United States from 22 October for US$179 on a two-year voice and data contract before launching in the United Kingdom in November and across Europe (Germany, Austria, Czech Republic, and the Netherlands (see World: 6 November 2007: Google Unveils "Software-Based" Mobile Phone Strategy).

Form Factor

The handset weighs in at 158 grammes and measures 117.7 mm x 55.7 mm x 17.1 mm—marginally taller, thinner, and deeper than the 133-gramme iPhone against which it is destined to be compared. The additional 5mm of depth and added weight can be ascribed to the full five-row hard QWERTY keyboard which slides out from beneath the 3.2" 320x480 touch screen resembling the classic Sidekick and HTC Touch Diamond Pro design which is the obvious forebear of the device. The handset also has a trackball on a ledged segment below the screen which will allow a wider range of interaction methods than touch screen alone.

Connectivity

The device is designed for use across T-Mobile's global operations and supports GSM/GPRS and EDGE at 850/900/1800/1900 MHz. It also supports WCDMA and HSPA at speeds of 7.2 Mbps downlink and 2 Mbps uplink in the European 2100 MHz band as well as the 1700/2100 MHz frequencies used by the T-Mobile 3G deployment currently underway in the United States (see United States: 19 September 2008:T-Mobile UMTS Network to Reach 27 Markets by Year-End). The device also features Bluetooth® 2.0 with Enhanced Data Rate, and Wi-Fi 802.11b/g which would open it up to compatibility with T-Mobile's Universal Mobile Access (UMA) fixed mobile convergence product launched last year as well as potentially accessing the 8,900 point T-Mobile Hotspot network—though that has been seriously degraded by the loss of Starbucks (see United States: 27 June 2007: T-Mobile Launches UMA Across U.S. and United States: 13 June 2008:AT&T, T-Mobile, and Starbucks Agree Wi-Fi Deal).

Hardware

With only 256MB ROM and 192MB of RAM the device lacks the GB worth of memory that the iPhone inherited from its media player background, but with a MicroSD-2.0-compatible expansion slot, this is not a deal breaker. The 3.2 megapixel camera, while offering better resolution than the 2.0 megapixel camera on the iPhone, again misses a simple differentiation trick by lacking a flash capability. The handset also features a GPS receiver, with a digital compass and motion sensor which integrates with handset applications. The handset has a Qualcomm® MSM7201A™, 528 MHz processor which was demonstrated to be powerful enough to attempt to match the fluidity that marks out the Apple iPhone interface. User interface features such as "kinetic flicks" of the screen listings, extensive use of drag-and-drop on an extended "desktop", and the use of long and short presses to access functionality were demonstrated.

Applications

The handset is being touted above all else as a data-centric application platform and comes with several Google applications including Gmail, Google Maps, and YouTube applications. Google search is also a one-touch access facility. Google Maps Street View is currently only available in U.S. locations but due to come to Europe and allows cities to be explored at street level, integrating with the compass feature to synchronise the view. The browser was revealed during the question-and-answer session to be based on the same "Web Kit" as the Google Chrome browser launched last week. This is described as a rich HTML client which also supports synchronising with email, calendar, and contacts from GMail, as well as supporting Google Talk, AOL, Yahoo!, and Windows Live instant messaging. Competing directly with iTunes, the Amazon.com application provides access to six million DRM free tracks though its is intriguingly disabled by requiring a Wi-Fi connection to download full tracks. Google has also launched the Android Market, an application store which will feature some of the 1,700 applications created for the developer competition

Outlook and Implications

  • HTC Step Up: Although HTC have had high-profile involvement and coverage from the handset, it does not appear to have been able to use the launch to stamp its own brand on the Western market with the device taking the "T-Mobile G1" moniker. HTC have been known to hope that they can break out of the operator-branded handset niche but have quietly gained a reputation for attractive and effective handsets.
  • Breaking Windows: HTC has been the main producer of Windows Mobile Smartphones and this launch reduces HTC's reliance on the platform which has a reputation as being somewhat clunky. With Symbian also becoming free to license, Windows Mobile is placed into an increasingly tight corner and seemingly unable to generate the excitement that Google and Apple are achieving (see World: 24 June 2008: Battle of the Mobile Software—Nokia Buys Out Symbian to Fight Google's Android).
  • T-Mobile 3G Flagship: This will act as a flagship product for T-Mobile as it deploys its 3G network matching the AT&T/iPhone combination n the United States. With a range of applications coming out of Google and a high-profile industry push to develop further applications, T-Mobile can enhance its push to compete with AT&T's iPhone flagship product and Verizon Open Network initiative (see United States: 14 August 2008:T-Mobile Set to Open Up to Application Developers). The U.S. mobile market is going through interesting times and has begun leading development of a wide range of new mobile data products as the major players of Silicon Valley—Apple, Google, and Microsoft—invest in and compete in this field.
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