Google Inc (NASDAQ:GOOGL)’s Android One: Multiple Agendas

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By Thomas Copeland on September 19, 2014 Company

Google Inc (NASDAQ:GOOGL) has not ignored the low-end phones market; it has finally decided to improve their quality and give price sensitive users a phone that is both inexpensive and good in terms of specifications. Google Inc (NASDAQ:GOOGL) took the first step towards the betterment of low market smartphones last Monday – by introducing its Android One technology in India.

This moves shows Google Inc (NASDAQ:GOOGL)’s awareness of the potential offered by the low-end smartphones. They approached low-end manufacturers in India such as Micromax, Karbonn and Spice in order to come up with phones based on Android One technology. The reason will be simple: to produce good phones and to market them at a staggering low price.

This is an excellent opportunity for Google Inc (NASDAQ:GOOGL) to enter yet another market segment and potentially rule it. Google Inc (NASDAQ:GOOGL) is riding the high wave in the hig-end market already; venturing into the territory of these small players will give Google Inc (NASDAQ:GOOGL)’s sales a major boost.

Smartphone sales have seen a huge high in the past few years. Most of the world’s population is smitten by technology, and for one reason or another wants to possess a good smartphone.

Smarphones powered by Android One will not only be inexpensive, but will feature great specifications: a 5MP rear and 2MP front camera for the selfie buffs. Then there’s the 1.3 GHz quad core system speed; dual SIM capability; 1 GB RAM along with an internal space (card slot available too). The operating system will be the perfect solution to the problem of low-end phones and their poor quality. It will allow the users to enjoy better, speed, features and user experience without having to spend too much money. This move will surely increase the number of smartphone users in India, which is already quite high.

However, Google Inc (NASDAQ:GOOGL) is thinking beyond just the lower level smartphone market. It seems that this move has an underlying goal as well; Google Inc (NASDAQ:GOOGL) with the help of its Android One will encourage more users to use its search engine and Play Store.

It is an extremely smart and calculated move by Google Inc (NASDAQ:GOOGL) because revenue generated from its Play Store is immense. Android One being the latest software will also have an updated Play Store, which will offer unlimited entertainment (for a price of course).

The popularity of these smartphones, the user engagement on Google Inc (NASDAQ:GOOGL) search engine and buying of apps and games from its Play Store, the company is giving its competitors something to think about. Names like Samsung have already taken a hit in China’s low-end smartphone market and now it seems that its time in India is also ticking.

Google Inc (NASDAQ:GOOGL) will soon take Android One to other countries that include Pakistan, Philippines and Indonesia – three countries where low-end smartphone market is extremely strong. This new launch by the tech giant will surely give birth to a new battle where the big names might shift their focus to the low-end market.