Although Google launched the
Nexus One with grand plans to radically change the way consumers purchased phones and service, it looks like the experiment has fizzled to an end -- the company just announced that will eventually stop selling handsets online and instead partner with carriers to sell the N1 in-store while using its website to promote "a variety of Android phones available globally." Google says customers simply want a hands-on experience before buying a phone, but we'd say the lack of subsidies from any carrier except T-Mobile and some
serious customer service issues probably played in killing Google's original sales strategy -- and of course, both Verizon and Sprint essentially refused the N1 in favor of the bespoke
Incredible and
EVO 4G. We'd also say that Android as a whole will remain unaffected, since the Nexus One was
never a huge seller, but it's still rare that a company simply gives up a business model like this, and we don't know if Google will ever follow up with a successor to the Nexus One. The Google Phone is dead, people -- long live the Google Phone.
Update: We just asked Google about future devices and support for current Nexus One owners, here's what they said:
On the future: We will continue working with our partners to bring cutting-edge new Android handsets to market, but we have nothing to announce right now.
On support: This announcement doesn't have any immediate impact on support for consumers who purchase Nexus One through the web store.
posted May 14th 2010 12:49PM
I love Google's idea of a Google Store with unlocked cell phones (this will only get better when all carriers unify on LTE). I hope the concept doesn't get scrapped.
I only have one problem with their sales model. I would buy an unsubsidized phone (priced above the cost of a subsidized phone) if my monthly service was decreased by the same amount over two years. Otherwise, it's too much.
I buy my phones online. I've always stayed with Blackberry, because they are reliable as hell. But my next phone will be an unlocked one for sure.(Most likely a Nokia now that Google gave in to the cell phone companies.) That way I can tell T-Mo to suck it if AT&T ever gets any better. Most likely won't happen, but I like my options open.
On big F U to you Google. I was planning to get one when 2.2 is out to get tethering. So much for unlocked N1 & tethering then. Why is everybody in the US being a d0uche? I hope google will force carriers to sell them unlocked, but that seems unlikely
Wrapping up my first week on N1 - AT&T. Very happy! Thank you Google for bringing Android to the AT&T network...and free to ota froyo to my device when you are ready. I will along for the ride!
Sad. I was hoping for a better Nexus Two. I hope Google will consider a comeback.
another "iphone killer" dead!!! That's another reason I'm scared to get a Incredible, after a year it could just be dropped. iphone has proven it is here to stay and gained support by so many companies! I use mine with my Bose system, my Alpine car stereo, and to control my itunes. I hear soon PS3 will support it!!!
@B1 The Nexus One isn't going anywhere you moron. The stupidity of Engadget users overwhelms me so, so much.
*facepalms*
Wow. The internet really annoys me sometimes...
@futurerheza
I think it's because the only way to have U.S. cellphone carriers to start selling the N1 in their retail store is for Google to stop selling the phone directly to customers.
The carriers want consumers to walk into their stores, talk to their "helpful" and "knowledgeable" sales reps, buy whole bunch of crappy overpriced accessories, signing multi-year contracts, and make a cut on every cellphone sale.
I think I can handle the hassles as long as the phone is still unlocked and run clean, unmolested Android. I want the latest updates directly from Google without delay.
Sigh, how come Google can stand up to the Chinese Government but not the to the U.S. cellphone carriers?
I suspect T-Mobile has a superphone coming up (HTC Desire perhaps), hence no reason for anyone to buy the Nexus One. I'm on T-mobile and the Nexus One is not for me because:
1) Costs $100 more for current customers. Price is steep compared to other carriers and T-mobile itself, with offerings of comparable phones for $99 or Two for One.
2) Subsidized version can't be used with my family plan.
Google has so many other android handsets to worry about heck the N2 can come from anywhere!
Are you sure Google had "grand plans to radically change the way consumers purchased phones and service"?
Perhaps what they planned was to set a benchmark for Android phones, to take Android specs above the current iPhone, and provide a target to try to prevent fragmentation.
I'd say they did that very successfully, and generated massive (not Apple massive though) buzz about Android.
The N1 did it's job - but the Evo and Incredible mean it's now obsolete.
If Android handsets start looking crappy next to the next iPhone, or if there is no set of specs that become the defacto "standard" for apps to be developed for they'll bring out the next Google Phone.
@grobbo
Nope, Google specifically said that they plan to revolutionise the way mobile phones are sold
You can go back and search for it, I'm a little too lazy to do it :)
@andrewia Phone itself was okay, but sales wise, it was the one of the poorest selling cell phone. Basically, it has sold in it's lifetime less than what some analysts believe it would sell in the first month. Most other cell phone launches have sales numbers that exceed analyst estimates.
Take it off the market before the lawsuit goes to trial... good job guys
@grobbo
You get it but I would hardly call the N1 obsolete. Wait a few weeks. And besides, EVO and Incredible are on tech limited CDMA networks. IMO, the best Google/Android experience is on N1 and AT&T. Best way to go on Android right now. Best NA GSM network, no interference from the carrier, and the Google reference handset.
So the N1 will be sold in carrier stores.
1. Will it still be unlocked? Meaning no interference from T-Mobile nor AT&T?
2. When 2.2 is out, will any N1, previous and future, support tethering on its own?
Although I can see T-Mobile willfully selling the N1 unlocked, I don't see AT&T doing it.
While I'm certain the Google phone isn't going anywhere, this "experimental" streak that Google has with Android is one reason I've stayed on the sidelines (with my Nokia N900, no less).
Google has me seriously confused as to what they plan to do with their chunk of the smartphone market? So there's a Google phone, but phones from HTC and Moto use the same OS? Flash is coming, but which phones will support it? It's questions like these that have many waiting for answers before committing to a 2 year contract.
This is actually sad, not for google (they are a big, big company without money troubles) but for a new system for selling handsets. I know that today is not easy to go and pay +500 USD for a handset, but for all of us that are outside the US, being asked to pay something like that for a premium phone is something normal (even with plan - yes, carriers are not kind enough to subsidize +200 USD). I liked the idea of a company selling unlocked GSM phones for a not-that aggressive price (hello, nokia?). Americans are used to get highly subsidized phones, and that's the reason why google's strategy failed. The N1 is a pretty good phone, and it was strangely bashed by a lot of reviewers (in a similar fashion to, say the nokia N97 - and come on, that was indeed an TERRIBLE phone).
Luckily, I got the N1 from the online store while I was on a trip, and hopefully it (the unlocked, sold by google version - if the phone continues being produced) will become a rare collectible object...
I'm really glad that Google sold it directly online. I wouldn't have gotten it otherwise and I'm sad that Google has bowed down to the typical carrier model. I was hoping to keep on buying my devices direct from Google.
Anyway hoping to taste some Froyo really soon....
And for those criticizing the N1, it's still the best Android phone out there for its form factor!!!
google needs to be better at advertising / marketing.
they release products and no one knows until months later or sometimes never at all.
USE YOUR SEARCH PAGE!!!
just put a few one liners saying 'nexus one announced' or make a list of ANDROID mobiles out.
@liquidmonkey I completely agree! Google should have hyped it up a bit more. It did have one liners and notices on the search page I think...
Come on, most POPULAR products out there are just all hype and marketing. You need to do better google >=(
@liquidmonkey
What are you talking about? You mean to tell me that Google Chrome, the Nexus One, www.google.com, etc. were invisible to the public eye for months/years after they launched? Maybe YOU didn't know about these products, but everybody else did.
I'm really not sure why this is so surprising to Engadget, or to anyone. Google tried something new - selling phones online with no advertising at all except for their own online ads. Google testing something and then deciding it isn't working out and changing/cancelling it isn't surprising at all.
They were seeing if, for zero cash investment, they could move a significant number of units. They didn't. All this taught them, and us, is that as much as we scoff at multi-million dollar advertising campaigns, they work.
What I have learnt from this is that "Personal touch still matters!". Even in this high tech world nothing can replace the need of touch, see and feel anything before buying. Surely I buy books online directly without even looking at it in the store. But for things like clothes everybody would really like to feel and see how it looks on him. For all electronics, nobody would love to buy anything before playing with it at a store.
http://www.rohitprabhakar.com/2010/05/15/google-nexusone-goes-offline/
Any exact date for when the phones will arrive to retail stores in Singapore? Been waiting for it ever since it came out.
When do we start seeing google stores?
Fail on Google's part. Who would have thought that customers won't buy a handset without a hands-on demo. Not to mention, the outrageous price and for whatever reason, their inability to negotiate subsidies for their customers. No phone is worth $600, including the iPhone.
Clearly the solution to their problem is to open Google Stores.
I just ordered mine last night, guess ill be one of that last. It will be nice though to see these in T-Mo stores and see more people carrying them.