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Google changes Nexus One plans, will stop selling handsets online

May 19th, 2010

It looks like Google’s plan to dramatically change the way consumers purchase cell phones and service has completely fizzled out.  Google has recently announced they will eventually stop selling handsets online and instead partner with carriers to the sell the Nexus One in stores while using its website to promote “a variety of Android phones available globally.”

Google says it has found out the hard way that consumers want a hands-on experience before buying a phone but I am sure there were other factors that played into the low amount of sales for the Unlocked Google  Nexus One.  Some of these factors could include a lack of subsidies from any carrier and some serious customer service issues.

It is pretty rare for a company to completely give up on a business model like this.  Usually if a company is having difficulties selling their product the initial way they had planned they will just add more sales channels in an effort to sell more units.  So the fact that Google is completely abandoning their online sales portal is a pretty big announcement.  It is unknown if Google plans to follow up with a successor to the Nexus One but as it stands right now the Google Phone is dead.

Google does plan to continue providing support for Nexus One consumers who purchase through the web store.  This is good news for those of you who have recently purchased this device or were thinking of doing so in the immediate future.

I would be pretty surprised if Google gave up developing new Android devices altogether.  Now that they know their online sales model is not the best way to launch a product they can expect better success with their next handset should they ever develop one by partnering up with carriers and selling the devices in brick and mortar stores.

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