Google (GOOG) has created a version of its Nexus One Android-powered phone that will work on the AT&T (T) wireless network. That is a large step up from the T-Mobile network that Google used to launch the handset. T-Mobile has about 35 million subscribers in the US. AT&T Wireless has closer to 90 million.
Google said “This new model can be purchased as an unlocked device without a service plan.” That may make AT&T unhappy because Nexus One customers may not sign up for its two-year subscriber program.
Tech website Flurry recently reported that Google has only sold 135,000 Nexus One handsets in its first 74 days on the market. Several days after its initial launch, Apple (AAPL) sold one million iPhones and the Motorola (MOT) Droid, powered by the Google Android operating system, sold 1.05 million units.
Google may have permanently undermined sales of the Nexus One by offering awful customer service in the period just after the phone was released. The New York Times reported that many people who bought the handset were particularly vocal in denouncing Google’s treatment. One of the search company’s executives said that his company was indeed not adequately helping customers who had problems with the Nexus One.
Now, Google can combine its poor Nexus One customer service with the terrible 3G network run by AT&T and no one who buys the newest version of the handset will be happy.
Douglas A. McIntyre