No Google Phone for You
Back on October 20th we brought you news of the rumor that Google was developing is own Android Phone.
Today we have bad news for those of you who thought this round of Google-phone rumors would end differently than the last. In a talk with CNET, Google VP Andy Rubin stated clearly that his company has no plans for any Android hardware.
Palm (PALM Quote) was slapped with a sell rating Tuesday on concerns that the new arrivals in the smartphone market will crowd out the Pre.
The heroic makeover of Palm is facing a significant challenge as telcos like Verizon (VZ Quote), Sprint (S Quote), and AT&T (T Quote) align behind Apple (AAPL Quote), Research In Motion (RIMM Quote) and phones built on the Google (GOOG Quote) Android operating system, shoving Palm into fourth place among suppliers, writes BMO Capital Markets analyst Tim Long in a research note Tuesday.
GOOG Oct 27 2009, 12:26 PM EDT
PALM Oct 27 2009, 12:27 PM EDT
The downgrade comes a day ahead of Verizon’s introduction of the Motorola (MOT Quote) Droid phone running on Google’s Android system. It also follows a report earlier this month that Verizon was snubbing Palm next year and putting its full support behind Android and BlackBerry phones. Verizon has said it plans to offer the Palm Pre and Pixi phone early next year.
Google also has plans as reported here, to bring its own Android phone to the market as early as this year.
The heavy competition and the fading popularity of the Pre phone along with the potential cannibalization of Pre by the Pixi next month does not bode well for Palm, Long notes.
“We believe that the company will miss its guidance for the second half of fiscal 2010,” writes Long.
Palm shares fell 5.25% to $13.53 in late morning trading Tuesday.
Google is looking to get involved with music services and it’s going to use the help of current web services like iLike and LaLa to do so. From what we gathered, Google Audio will allow people to search for artists, songs, etc and it’ll display results in either snippets of the song or full-length versions and point users to where they can easily purchase those songs. And though that’s an amazing and exciting proposition, being able to simply use the power of Google to get easy-access to purchasing songs, it’s not exactly going head to head with the moneymaking heavyweight that is iTunes.
A lot is still unknown at this point, final UI details and design may change and clearer details may eventually come about. But what’s sure is that Google is planning to announce this new service on October 28th (interestingly, the same day as the Droid event!) so we’ll find out soon. Could Google eventually use their new service to replace the Amazon MP3 Store on Android?