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Google Stops Selling Its Own Phone 196

Posted by kdawson
from the retail-is-hard dept.
Dave Knott notes that Google has announced it will close its online cell phone store and no longer sell the Nexus One smartphone directly to consumers. "While the global adoption of the Android platform has exceeded our expectations, the web store has not," wrote Andy Rubin, a Google vice president of engineering, on the official company blog. "It's remained a niche channel for early adopters, but it's clear that many customers like a hands-on experience before buying a phone, and they also want a wide range of service plans to chose from." From the Globe and Mail article: "At least one aspect of Google's attempt to disrupt the world of mobile communications — selling phones directly to customers — has failed. ... [T]he decision to design and sell the Nexus One was perhaps more potentially disruptive for carriers. ... Google plans to continue marketing the Nexus One through 'existing retail channels, essentially partnering with carriers around the world. The Nexus One web store, meanwhile, will essentially become a marketing portal 'to showcase a variety of Android phones available globally.'"
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Google Stops Selling Its Own Phone

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  • by dougluce (1719466) on Saturday May 15, 2010 @04:23PM (#32221814)

    Qualcomm, Motorola, and others learned this for them already. If you've got something amazing to provide to the cell phone value stream, keep away from competing with those you are helping.

    • Re: (Score:2, Funny)

      by UNHOLYwoo (1213830)
      I give them credit for trying to have their cake and eat it too... but as we all know, the cake is a lie.
    • by Anonymous Coward on Saturday May 15, 2010 @04:40PM (#32221912)

      Bosh. I paid for my Nexus One outright, and I probably wouldn't have even looked at it if I had to stop in at one of the phone stores. Those places are sleazy.

      T-Mobile has month-by-month rates. A little more pricy, sure, but you are able to switch carriers at any time. Works for me.

      It's unfortunate that Google is throwing in the towel so quickly. They're spending fortunes on ads, right now, they must have the money to spare. I don't think they've considered what they're doing.

      But I do love my Android phone. It could stand minor hardware tweaking. The software resources are phenomenal.

      • by babyrat (314371)

        right - they haven't considered it...

        And how are they throwing in the towel? Instead of distributing the pone on the web, they will have it in countless physical stores around the world. And for those who don't like stores and want to buy online? I'm guessing that every provider that sells the phone will make it available on their website.

      • They're spending fortunes on ads, right now,

        You mean: The carriers and/or the Manufacturers are spending a fortune on ads. So far, I've mostly seen Droid commercials, not really Nexus commercials.

  • Nice try (Score:5, Informative)

    by jlechem (613317) on Saturday May 15, 2010 @04:33PM (#32221870) Homepage Journal
    But after looking at buying a Nexus One there were 2 primary options. Bend over and pay full price or bend over to T-Mobile and pay their price and lock in. And they only had two plans that were complete shit. I support as many new phones as possible but this wasn't priced well and the plan options they did offer just plain sucked.
    • Re:Nice try (Score:5, Informative)

      by yincrash (854885) on Saturday May 15, 2010 @04:37PM (#32221894)
      if you pay full price, you could get $20 / month off the t-mobile plans for people who are not on 2 year contracts, that worked out to be less than getting the 2 year plan over 2 years. i think they didn't advertise that well enough.
    • by amorsen (7485)

      Bend over and pay full price

      Why is paying the cost of a product associated with bending over? Are you saying that the price of the Google One was unreasonably above the cost of production?

      • Re: (Score:3, Insightful)

        by jlechem (613317)
        Maybe it's just me but I see paying over 500 dollars for a cell phone no matter how cool, bending over. I would never buy an iPhone for the same reason.
        • Re: (Score:3, Interesting)

          by amorsen (7485)

          Maybe it's just me but I see paying over 500 dollars for a cell phone no matter how cool, bending over.

          Hence why most cell phones are leased, not sold (although that word isn't used, of course).

          I still don't see the bending over bit. The cell phone costs a certain amount to produce, and the manufacturer asks that plus a reasonable profit. Sure there are cases where the manufacturing costs are less than half of the consumer price, but AFAIK Google One isn't one of those.

          • Re: (Score:2, Insightful)

            by maxume (22995)

            They are sold on contract. That is not a lease. With a lease, the phone company could expect to get something of value back from the customer, not a well used, obsolete phone.

        • Re:Nice try (Score:4, Insightful)

          by mrops (927562) on Saturday May 15, 2010 @07:24PM (#32222926)

          Thats because you are looking for a phone.

          Nexus One is in the category I like calling "Also a phone".

          If you want a phone go look for a Nokia 6120 or something. Mind you 6120 is more than phone too.

          With data usage on these mobile devices becoming more and more common, these things are more of an internet tablet with voice capability (vs the other way round).

        • If it was just a cell phone you'd be right, but smart phones are pocket sized mobile computers. Lots of people think they are worth $500. If you don't then no one is forcing you to get one, the bending over is all in your head.

    • Re: (Score:3, Insightful)

      by Daetrin (576516)
      Don't subsidized smart phone plans generally cost $90 or more? I bought the unlocked Nexus One for $530, and got an unlimited data/unlimited texting /500 minutes with unlimited nights and weekends plan with T-Mobile for $60 a month. At a savings of $30 a month i'll have covered the difference between the full cost and the subsidized cost in a year.
      • Re: (Score:3, Insightful)

        by peragrin (659227)

        my iphone is $70 a month with all my taxes(I have an older plan that i talked the guy into letting me keep, so i just added data)

        So you save $10 a month over me, or $240 over two years. I paid $300 for my phone so $540 plus the contract rate.

        You saved how much over my iphone? none, zip, zilch. not to mention you didn't taxes onto your rate only the stated price. So we are equal and i got a phone that can actually use AT&T's 3G service and not stuck on dial up speeds of t-mobile.

        (note AT&T 3G's s

        • by trapnest (1608791)
          Everywhere I've tried in tampa bay (Homosassa Springs, Hudson, New Port Richey, Clearwater, Saint Petersburg, Tampa) T-Mobiles EDGE has been faster than AT&T's 3G.
        • (I have an older plan that i talked the guy into letting me keep, so i just added data)

          Well, yeah, it's cheaper if you happen to have an old contract and a guy you can talk into letting you keep it. My father-in-law still has an original iPhone with $20/mo data plan, but that doesn't do anyone walking in off the street any good. T-mobile's 3G, incidentally, has fine speeds as long as you're in a T-mobile 3G area and using a phone with the right frequencies - which an iPhone lacks.

        • So we are equal and i got a phone that can actually use AT&T's 3G service and not stuck on dial up speeds of t-mobile.

          You mean that you got one of the few phones that doesn't work properly on T-Mobile's Standard 3G Network (so it reverts to Edge). What is that? A defect by design? Did you have to pay extra to get that defect implemented?

          (note AT&T 3G's service is highly variable then again so is verizon's, and yes I have compared the two we did some wandering tests at my company over 600 sq miles of area In the end AT&T won roughly equal service area and speeds and AT&T came in at 40% less a year in savings.

          What? No discounts? You should talk to HR. My company chose AT&T too, but had them give all of us discounted personal and family cell phone plans.

        • Re: (Score:3, Insightful)

          by Daetrin (576516)
          As other people have pointed out, i am not you. In fact, _most_ people are not you. I don't have access to some special $70 a month plan from AT&T. If i wanted an iPhone the comparable plan would cost me $90 a month. So _i_ am saving $30 a month over the subsidized alternative, and that math is the same for most other people looking into getting a new smartphone.
  • If memory serves, Google stopped directly selling HTC's phone that was designed to work on T-Mobile, and is letting the carriers themselves sell it directly. Google is not a hardware manufacturer.

    Of course, I am getting old... so maybe it's my senility setting in and my recollection is incorrect. :-)

    • by catbutt (469582) on Saturday May 15, 2010 @05:04PM (#32222042)
      Although you could say the same about the iPhone and Apple, since FoxConn manufactures that (and lots of other companies make the various components).

      Google had significant design and engineering input into Nexxus One -- probably not as much as Apple has over iPhone, but still. Many if not most American tech companies outsource their manufacturing. If Google determines the specs and puts its brand on Nexxus One, in many senses that makes it "it's own" phone.
  • by jacks smirking reven (909048) on Saturday May 15, 2010 @04:33PM (#32221874)
    They've got the majority of America buying into the subsidy/contract system. The advantages of dropping $500 upfront on a phone aren't obvious to the layman phone buyer. Not when they get get an iPhone for $199 (despite the savings over time of going off contract).

    People here know the advantages (and a few here probably bought the N1 from Google) but I think that mindset is going to be hard to change without a drastic drop in the initial cost of the hardware.
    • Re: (Score:3, Informative)

      by cervo (626632)
      For ATT there are no savings. And you can't port the ATT phone to T-Mobile and still get 3G. And Verizon/Sprint use a different technology.

      For ATT you are always subsidizing a phone, there is no cheaper price for no contract. So by not having a phone you are throwing the subsidy dollars to waste. The only thing I can think of is finding the most subsidized phone, selling it on e-bay and then using the proceeds to buy the nexus one (in effect subsidizing one). T-Mobile does offer a discount for no con
    • Wait, what savings do you get over time from going off contract? Don't all carriers charge the same per month whether you got a new phone or not? AT&T sure didn't have a plan to give me a discount if I bought the phone outright.
    • by Nerdfest (867930) on Saturday May 15, 2010 @05:08PM (#32222070)
      If I ran the country (and I really think I should), carriers would not be allowed to bundle the phones. They can sell them with a monthly payment, but it must be separate from the cost of the plan, and in no way affect it. Bundling phones and locking people into long term plans discourages competition in a huge way. I'd like to see the carriers fighting for my business on a monthly basis, not every 2 or 3 years.
      • I agree. If they are going to give you the phone as a rent to own device then the phone payment should show up as a separate line item on the bill. Obviously the carriers don't want this because people will quickly realize how much they are paying for the phone over the 2 years and the carriers can't keep the same service rate even when the cost of the phone+interest has been recovered.

        Carriers should be fighting for my business monthly or giving me really good deals to make me sign up for 1-2 years.

      • by teg (97890) on Saturday May 15, 2010 @06:36PM (#32222604) Homepage

        If I ran the country (and I really think I should), carriers would not be allowed to bundle the phones.

        Norway has a mobile market that works a lot better than the US, and here are a couple of key reasons why:

        • One common standard - GSM. This ensures competition, because a phone is compatible with all mobile operators. Thus, you get plans with and without subsidies ("bring your own phone"). In the US, you have different standards which makes switching operators harder
        • After the carrier subsidy period is over, they are mandated by law to unlock your phone if you ask. The phone is yours, you paid for it.
        • For consumers, the maximum contract length is 12 months. For businesses, 24 months. This typically means that the monthly rate go down after this period, as you could unlock it and leave otherwise
        • There also has to be a possibility for the customer to terminate this contract earlier, by paying a prorated fee.
        • You have plenty of Mobile Virtual Network Operators [wikipedia.org], which increases the competition. As a condition of using a limited, public resource the mobile network operators have to accommodate them.

        Competition is good, but sometimes you need to regulate to ensure a free market.

        • After the carrier subsidy period is over, they are mandated by law to unlock your phone if you ask. The phone is yours, you paid for it.

          The same is true in the US and most carriers will unlock your phone before your contract expires if you ask nicely.

          • by mlts (1038732) *

            Just some will. T-Mobile is arguably the best about this, because people either have bought their phone outright, or have to pay an ETF.

            Other providers might not let you unlock your phones. I do not know if Sprint or Verizon will allow someone to do this, nor do I know if either provider would let someone have a unit on their CDMA network without their branding. They might with their "world" phones (the ones that have both CDMA and a GSM radio.)

        • Re: (Score:3, Interesting)

          by mlts (1038732) *

          Another advantage of one standard for phones: No need to have so many radio bands allocated. GSM has one band. AT&T'3 3G has another, T-Mobile's has another, CDMA has theirs. WiMax has one, same with LTE, and iDen. Having one standard means that a lot of the bands can be freed up for other uses.

          You also have the ability for companies to share towers. This is what T-Mobile and AT&T did, pre-3G. This way, each phone company didn't have to have their own tower in each space for coverage, but cou

      • by Timmmm (636430)

        I'd vote for you. Fortunately it seems to be only America where the masses are quite so ignorant to the lie of the 'subsidy'. I have a feeling it is because you have so many different mobile technologies; if you change networks you'll generally have to buy a new phone anyway, so it is easier for the networks to force you to buy one.

    • by Namarrgon (105036)

      Yep. US buyers have to pay $200 + $60-$100/month for a decent phone, for "unlimited" voice & data, whether you want it or not. I'm amazed you haven't invoked your right to use those arms you bear yet.

      Here (AU) I imported my Nexus One at full price, but I pay only $10/month for voice, texts & data, plus I added $5 for extra data, which (with wifi and voip) more than covers my needs. On contract I'd pay $0 + $60/m, so I'm saving nearly $500 and I can change plans or carriers or sell my phone for a new

      • by Joe Tie. (567096)
        It really is annoying, especially because I don't "want" a voice plan, or sms. I want data, that's it. I use sms instead of an actual call for personal use when out and about 90% of the time anyway. And I do all that through google voice.
      • by ErikZ (55491) *

        "I'm amazed you haven't invoked your right to use those arms you bear yet."

        On who? Running around in an angry mob is pretty much useless.

    • Depends on the carrier and depends on the phone. I've compared my monthly rate with sprint to t-mobiles monthly rate where there is no subsidy, and my cost is still lower, in spite of having a subsidized phone.

      In general I hate the razer business model, especially when it comes to printers and ink, but for cell phones it isn't quite as cut and dry of a loss.

      BTW my phone is an HTC Hero, sells for $400 without contracts in europe (I'm not even sure if you can get it that low even,) while I got it for $80 than

    • I live in Australia and for $69 a month for a 2 year plan, I got a free iPhone 3GS for no extra cost.

      Did sell it on eBay for $750AUD, and buy myself an N900 for $800 (not released in Australia).

      The issue here in not going on the 2 year contract isn't the free phone as the lack of actual value on the actual contract. $69 a month for 24 months gives you $400 worth of calls and 1GB of data. For 6 month plan, the maximum they have is like $100 a month for $300 worth of calls and 300MB data.

  • by morari (1080535) on Saturday May 15, 2010 @04:36PM (#32221886) Journal

    Google has announced that it will close its online cell phone store and no longer sell the Nexus One smart phone directly to consumers.

    This was not called execution. It was called retirement.

  • Anti-Streisand: They announce something I never even knew was there is going away, and now that I've heard about it I want it: Inverse-publicity is still publicity.

    But Business-wise this is still smart, and Intel have done the same thing before: Get into a market proving to others it's there, then step back to your core competency. It's an arguably longer term strategy than Apple's, which is to own everything. Even if that's working well for the iPhone, I seem to remember a certain Macintosh computer whose

  • by cybereal (621599) on Saturday May 15, 2010 @05:02PM (#32222028) Homepage

    I'm not sure which revisionist idiot informed the general OSS/Google fanboy world that selling unlocked phones directly to consumers was somehow innovating. Nokia has been doing this for years. I bought my last Nokia phone, the E70, well before even the iPhone was out directly via Nokia's website. You can still buy many Nokia products this way, including the venerable N900.

    The prices may not always be the very best you can find but at least they are a trusted source.

    • Try before buy (Score:3, Insightful)

      by tepples (727027)

      You can still buy many Nokia products this way, including the venerable N900.

      But where can I try an N900? I walked into three different stores today and none of them had one. Given the price of return shipping and restocking fees, I prefer to try the display, keypad/touch screen, and hand feel of a phone before I spend over $500 for one.

    • Seconded. Nokia simply keeps things reasonably open, moreso than the repackaged HTC phones.

      The apps are out there, and you don't have to worry about stepping on someone's revenue stream(whether it be Google's or Apple's).

    • by dabadab (126782)

      Actually, here, in Europe, you can buy pretty much any model unlocked in phone shops since ... since forever. So really, selling unlocked phones directly is how it always was here.

    • You're missing the point. Even though they were unsuccessful, the N1 was slated to be available on all US carriers with a discount on at least one of them(T-Mo) if you bought it unlocked. There is no CDMA N900 and AFAIK. And up until now most carriers were not very friendly to the BYOP crowd. So the difference here is Google got them to warm up to the idea, even if just for a short (and ultimately unsuccessful) time.

      So there was some significance to this. I'd actually counter that you're looking a
  • I have some relatives who work at Google, so i got to play with their Nexus Ones while i was home for the holidays (obviously a marketing angle that didn't impact most people.) I was impressed with the phone, and equally impressed with the ability to buy the hardware upfront and get a cheaper no contract plan from T-Mobile. I ordered one from the website the first day they were available and i've been quite happy with it. (Okay, aside from the stupid "soft" home row keys. Going with those instead of real pr
    • by Belial6 (794905)
      You don't have to worry. T-Mobile is now starting to separate out the phone from the plan. Now instead of getting a "free" phone, they give you an interest free line of credit on the phone. So if you are a frequent upgrade, you don't "have to wait", and if you are not, you don't have to pay past the cost of the phone.
  • by alvinrod (889928) on Saturday May 15, 2010 @05:04PM (#32222038)
    Compared to the Droid, the sales weren't all that great and they do raise the excellent point that many people want to be able to hold it before they commit to the purchase. Also, there are several other Android phones (e.g. Droid Incredible) that have been described as better than the Nexus One and available on a wider range of carriers. By the end of the summer, the Nexus One won't be state of the art as far as Android phones go so there's no real reason for them to continue selling it.

    I imagine that they're working on a Nexus Two, so they'll eventually replace it with something else. Hopefully they get the customer service bugs worked out next time around, as that may be one of the potential reasons the device didn't sell as well as I expected it to sell.
    • Re: (Score:2, Informative)

      by donatzsky (91033)

      You may want to read the announcement [blogspot.com] again.
      Actually they are going to keep selling it - just not directly, but through resellers. In fact it's scheduled to be released across Europe, through Vodafone, sometime soon.

      Rumour has it that the Nexus Two is going to be a slider, made by Motorola, in the style of the Milestone/Droid.

      • by mlts (1038732) *

        There is one thing the Nexus One has that very few phones don't -- rootability. Want to root a Nexus One:

        Fire up adb, fastboot the phone, enter in "fastboot oem unlock", then flash whatever image you want.

        Other phones have a lot of roadblocks to custom ROMs, or even rooting it. For example, read-only partitions under Linux that stay read-only even when rooted. Or having fastboot disabled and everything else signed so trying to get root access is a job in itself.

        My first choice with a phone is rootability

        • by alvinrod (889928)
          Most phones have rootability, just not as easily as the Nexus One. Suffice to say, anyone who would want to root a Nexus One can easily root their Droid, iPhone, or whatever else they might have. The only significant difference is that that you could get root on the Nexus One from day one. The Droid took a few weeks. I can't recall how long it took for the original iPhone, but the more recent versions of the iPhone OS have only taken a few weeks.

          I don't own either a Droid or an iPhone, so I can't speak t
          • Re: (Score:3, Informative)

            by mlts (1038732) *

            I will give a concrete example of this: Motorola's CLIQ. It has fastboot disabled, and its initial root was done by a RAMDLD exploit. About a month later, it had an OTA radio ROM update. What happened is, if you had a custom ROM on your Cliq and that update went through, you would end up with an inoperable device until you flashed a factory stock .SHX file onto your phone. Of course, guess what? The RAMDLD exploit was fixed, and the phone was made unrootable. Source: modmymoto.com's CLIQ forums.

            Unro

  • This is why (Score:5, Insightful)

    by Gunegune (815495) on Saturday May 15, 2010 @05:04PM (#32222044)
    "Brick and Mortar" stores aren't going anywhere anytime soon. While there are many people who make almost all their purchases from online retailers, I find that most people would rather go to a B&M store for a purchase.

    All of my friends and relatives make their purchases at B&M stores because they don't have to wait or pay for shipping, they can physically "preview" their purchase, they can pay in cash instead of a paying with a credit/debit card, and it's far easier to make a return on an item. The only reason I've known them to make an online purchase is for a SIGNIFICANT discount (books, hardware, etc.), though, many B&M stores have become very competitive with online retailers.

    NOTE: I am referring to the purchase of physical items in my comment. Most of my friends make software purchases online (i.e. Steam).
    • by forkazoo (138186)

      "Brick and Mortar" stores aren't going anywhere anytime soon. While there are many people who make almost all their purchases from online retailers, I find that most people would rather go to a B&M store for a purchase.

      All of my friends and relatives make their purchases at B&M stores because they don't have to wait or pay for shipping, they can physically "preview" their purchase, they can pay in cash instead of a paying with a credit/debit card, and it's far easier to make a return on an item. The

  • by lanner (107308) on Saturday May 15, 2010 @05:05PM (#32222046)

    While I it may be that their method of sale/distribution did not succeeded, the phone itself, and Android as an OS, is great. I've never owned a better phone.

    There has been a lot of whining and griefing about the phone itself. I have no idea WTF all the complaints are about. I get great data and voice coverage (I hear TMobile isn't the best, but it satisfies me), and the only bug I've ever had is that the ringer sound will stop working about once a month -- I have to reboot.

  • This is really too bad. Up here in Canada, we're stuck with disgusting 3 year contracts (the 2 year ones have hardly any discount) with egregious profiteering (world's highest text msg prices for instance) and a culture of neglect after you've bought a phone from our oligopoly of carriers. The N1, expensive as it was, really was the best option for a good, unlocked, and free (as in freedom) smartphone. Any Android you get up here will assuredly be abandoned by the carriers - after all, new firmware means le

    • I got mine on ebay (australia) couldn't be happier.
      Sure you pay extra 5-10% but sounds like you really wanted an N1 free of contract.
      Just make sure your seller is reputable, mine had over 1k feedback on 100% so I was more than happy to buy from them.

    • Sadly, I would have bought an N1 in the near future, but now it looks like I'll be sticking with my dumbphone.

      Why? What's stopping you from driving down there and grabbing one for yourself? They aren't stopping sales completely, just online ones.

      (That said, I'm glad I bought it for myself and my wife while they were still selling and shipping it to Canada. Saved me the hassle.)

  • by Rog7 (182880) on Saturday May 15, 2010 @05:41PM (#32222248)

    As a high-profile unlocked phone, the Nexus One has seemed to have had an effect on carriers here in Canada.

    Bell, Telus and Rogers have all been friendly about just putting a SIM card into the Nexus One and using it. I don't know if it's been an official policy at these carriers or not, but previously getting an unlocked phone onto anything but prepaid has been a pain, I was often met with resistance at the stores ("Oh no, you can't do that").

    Now, even with other unlocked phones, the stores have been a lot more receptive about getting you on their network.

    It may not have sold in spectacular numbers and many consumers have no clue it exists, but the reps in the stores know this phone very well.

    • Re: (Score:3, Informative)

      by Timmmm (636430)

      If it's GSM you don't need your network's approval to use an unlocked phone. At least, not in any sane country.

    • Bell, Telus and Rogers have all been friendly about just putting a SIM card into the Nexus One and using it.

      Er, what other option do they have? What can they do to prevent you from doing just that?

      My contract is with Fido, and I definitely didn't even tell them that I'm switching phones. Just put the SIM into my new N1 - which worked right away, of course - and then requested a switch to a 3G plan through online support. They didn't ask anything at that point, either.

  • by dindi (78034) on Saturday May 15, 2010 @05:43PM (#32222266) Homepage

    Well, maybe if most people would not have gotten the "not available in your country or region", most people would have ordered online. I wanted one, and I am happy I did not: I tried a colleague's Nexus one, and found to phone to be ... well .. not satisfactory...

    While Android is a cool thing, after an iPhone all HTC phones feel like cheap plasticky toys. And do not even get me started on the touch screen.

    I am in the search for a 850Mhz HSDPA Android phone for some time and haven't found a unit that even remotely challenges the iPhone's quality. Maybe when idroidproject advances a little I can have my 2G running Android....

  • I have to imagine that if the unlocked price was below $400 (or even the price of a locked phone) it would of sold like hot cakes but unfortunately I think Google had too many external pressures to that prevented them from pricing it accordingly.

    Instead, Google *flooded* the net with ads for the N1 hoping their marketing muscle would overcome all other obstacles.

    • by Timmmm (636430)

      Yeah like, the fact that the phone costs more than $400.

      You *always* pay full price for the phone. To phone companies, 'subsidy' is another word for 'monthly payment plan'.

    • by NNKK (218503)

      Materials cost alone for smartphones runs $150-200. Factor in R&D, manufacturing, freight/shipping, support, general cost of doing business (insurance, attorneys, ...), 15-20% profit margin, and a $400 price tag starts looking impractical.

      Make no mistake, the price of a subsidized phone really _is_ heavily subsidized. For smartphones, carriers usually pay the manufacturer $200-300 over what they charge the customer up-front, and that's _after_ they've negotiated volume discounts.

    • Re: (Score:2, Informative)

      by Totenglocke (1291680)
      Actually, due to the reduced monthly fee with T-Mobile if you bought the phone unlocked, after 2 years savings the phone would cost around $55 - so about $145 LESS than if you bought the phone subsidized by a 2-year contract. The real reason for the "failure" you speak of is that the overwhelming majority of Americans suck at math.
  • Ordered mine last week, got it in Wednesday. Very lucky, as it's not a bad phone in the slightest.
  • Look, here's the real issue. If you bring your own phone in the US, you pay the same price as everyone else. In the EU almost everyone brings their own phone by buying one outright because monthly plans are MUCH cheaper that way. Only idiots or uneducated fools agree to 2 year contracts for smartphones because you end up paying much, much more per month and over the lifetime of the contract.

    The US carriers have brainwashed people into thinking they're getting a "subsidy" with the 2 year contract. They're

    • by Belial6 (794905)
      T-Mobile has just changed this. They now call the loan a loan and it is itemized seperately. I suspect that they expect to sell people phones more frequently this way with the rapid pace of improvement in the cell phone market.
  • The Nexus one is needed for AT&T. Currently the only phone running Android is the crappy Motorola Backflip which doesn't even have Google as a search engine and is intentionally crippled, let alone the terrible hardware.

    T-Mobile has a good selection, Verizon a great selection and Sprint has several great phones. AT&T however, is crap.
  • I assume online retailers will continue to sell the phones unlocked. I will never again buy another phone which tells me what network I can use it on despite it's technical ability to connect to other networks. I wish the practice of locking phones would be banned in every country. It works out much cheaper for me since I can get SIM-only contracts or if I get sick of those go back to prepaid which is only marginally more expensive.

    Phone service in the USA sucks, I get 250mb data and 50 minutes for 15 eur
  • I'd have actually considered buying the Nexus One except for a couple of issues. The first was that tethering (Something a Nokia E70 I purchased over five years ago was able to do easily) was left out. I don't want to browse the web on a fucking postage-stamp-sized screen on a cellphone when I could be doing it on my laptop. Second, the Nexus One was already being overshadowed by newer HTC phones, some of which allow the kind of tethering I want to do (Albeit at a price.) All of that made the package rather
    • Tethering on N1 - including working as a WiFi hotspot - is coming in Android 2.2, which, IIRC, is scheduled for release by the end of this month.

      In the meantime, there are a bunch of apps on the Market which let you tether over USB if you have a client installed on the box - e.g. here's one [mobile-stream.com]. The problem is that most don't bother with Linux, and many don't bother with OS X, either. If you just want it for Windows, though, then it's all there already.

      And Linux users? They normally root the phone anyway, at wh

Theory is gray, but the golden tree of life is green. -- Goethe

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