Search engine giant Google is planning to enter the mobile phone industry by selling its own brand of mobile phones and provide mobile data over a third party network. Various reports claim that Google will be tapping the services of Sprint and T-Mobile to help jumpstart its new project.
Google's plan is to acquire mobile voice and data network service from either or both networks. This plan would turn Google into a mobile virtual network or MVNO.
An MVNO company is basically a mobile service operator that does not have its own network infrastructure, instead it leases wireless networks from pre-existing mobile provider in order to deliver its own brand of service.
The project named Nova is helmed by Google Executive Nick Fox, according to The Information. The report also said that Google is planning to unveil its newest service later this year and Fox previously said that the project is already in its testing phase.
Google's plan is to provide its customers with more affordable services compared to the one being offered by other network providers. The company might be planning to create a Google branded phone, supply it with Google's Android software and integrate it to a Google's third party network, Gizmondo reported.
Google has previously tried to enter the mobile network market in order to effectively deliver internet connection to its consumers. Most notable of these experimental projects were Google Fiber and Project Loon. Recently the company invested $1 billion to fund a SpaceX project of sending numerous satellites in space in order to increase internet connectivity.
Public Knowledge senior staff attorney John Bergmayer said, "MVNO's are cool, they're good way for Google to get its brand out there and offer interesting pricing plans but they don't really change the competitive dynamics of the wireless industry. They're just reselling Sprint and T-Mobile."