Google: A Cry for Wi-Fi

Isn't there anyone left who likes cords?

Not in tech. Apple (Nasdaq: AAPL  ) CEO Steve Jobs apparently loathes them, and now, with a failed-but-bold $4.6 billion bid for a chunk of wireless spectrum, Google (Nasdaq: GOOG  ) wants to do away with them altogether.

Actually, Google's ambitions are broader than that. Verizon Wireless, the joint venture between telecom titans Verizon Communications (NYSE: VZ  ) and Vodafone, may have outbid the folks from Mountain View, but the search king isn't backing off its demand for open access to wireless spectrum. Only its tactics have changed.

Late Friday, Google filed a six-page letter with the Federal Communications Commission, asking that the government make "white spaces" -- unused broadcast TV channels -- available for wireless data use by mobile devices.

No surprises there. Google has been investing in connectivity for years. In the wireless realm, it has a partnership with WiMAX operator Clearwire (Nasdaq: CLWR  ) . Others simply agree with Google that spectrum should be freed for data use, including Microsoft (Nasdaq: MSFT  ) and Dell (Nasdaq: DELL  ) .

But expect Google to profit most if the Feds agree with its thesis: that available spectrum shouldn't be treated as a finite natural resource, and that using it can vastly improve connectivity -- and thereby, lives.

Bold? Sure. Poetic? Perhaps. Cagey? Abso-freaking-lutely.

More than 30 companies are working with Google to implement Android software for mobile devices. Having spectrum available would make those devices -- and perhaps those of competitors, such as the iPhone -- more functional.

More functional devices tend to command higher prices. Higher prices beget higher margins. Higher margins lead to greater profits. See the pattern here?

So let's call this what it is -- a ploy to get Google into more places where it can sell advertising. If it succeeds, the wireless world will never be the same.

Get your clicks with related Foolishness:

Read/Post Comments (0) | Recommend This Article (4)

Comments from our Foolish Readers

Help us keep this a respectfully Foolish area! This is a place for our readers to discuss, debate, and learn more about the Foolish investing topic you read about above. Help us keep it clean and safe. If you believe a comment is abusive or otherwise violates our Fool's Rules, please report it via the Report this Comment Report this Comment icon found on every comment.

Be the first one to comment on this article.

Compare Brokers

Fool Disclosure

Sponsored Links

Leaked: Apple's Next Smart Device
(Warning, it may shock you)
The secret is out... experts are predicting 458 million of these types of devices will be sold per year. 1 hyper-growth company stands to rake in maximum profit - and it's NOT Apple. Show me Apple's new smart gizmo!

DocumentId: 606168, ~/Articles/ArticleHandler.aspx, 10/26/2016 9:07:41 PM

Report This Comment

Use this area to report a comment that you believe is in violation of the community guidelines. Our team will review the entry and take any appropriate action.

Sending report...

Today's Market

updated Moments ago Sponsored by:
DOW 18,199.33 30.06 0.17%
S&P 500 2,139.43 -3.73 -0.17%
NASD 5,250.27 -33.13 -0.63%

Create My Watchlist

Go to My Watchlist

You don't seem to be following any stocks yet!

Better investing starts with a watchlist. Now you can create a personalized watchlist and get immediate access to the personalized information you need to make successful investing decisions.

Data delayed up to 5 minutes

Related Tickers

10/26/2016 4:00 PM
GOOGL $822.10 Down -6.45 -0.78%
Alphabet (A shares… CAPS Rating: *****
AAPL $115.59 Down -2.66 -2.25%
Apple CAPS Rating: ****
CLWR.DL $0.00 Down +0.00 +0.00%
Clearwire Corp CAPS Rating: **
DELL.DL $0.00 Down +0.00 +0.00%
Dell CAPS Rating: *
MSFT $60.63 Down -0.36 -0.59%
Microsoft CAPS Rating: ****
VZ $47.63 Down -0.21 -0.44%
Verizon Communicat… CAPS Rating: ****