Would consumers trust a search engine to offer reliable phone service? We may soon find out, Fool contributor Tim Beyers says in the following video.
According to sources cited by The Information, Google (NASDAQ:GOOGL)(NASDAQ:GOOG) is weighing a deal to offer wireless service in cities where it already offers Google Fiber. Verizon (NYSE:VZ) is a likely partner, the site reports.
Whether this will ever be more than a rumor is hard to know. Yet Tim says any arrangement that provides simpler and faster wireless access is potentially disruptive and could boost Google's stock as a result. At the very least, it could help further the company's goal of using the Internet as a primary means of delivering not only information but also entertainment and communications services.
We've also seen Google dabble in this area before, when it teamed with Intel and others to invest billions in WiMAX technology developed by the company we used to know as Clearwire. LTE has since emerged alongside Wi-Fi as the as the industry's two dominant broadband technologies.
Teaming with Verizon would allow Google to reduce the risk of making another WiMAX-sized mistake while growing a key element of its business, Tim says. Do you agree? Would you sign up for Google wireless service were it made available to you? Please watch the video to get the full story and then leave a comment to let us know what you think, including whether you would buy, sell, or short Google stock at current prices.
Tim Beyers is a member of the Motley Fool Rule Breakers stock-picking team and the Motley Fool Supernova Odyssey I mission. He owned shares of Google (A and C shares) at the time of publication. Check out Tim's Web home and portfolio holdings, or connect with him on Google+, Tumblr, or Twitter, where he goes by @milehighfool. You can also get his insights delivered directly to your RSS reader.
The Motley Fool recommends and owns shares of Google (A and C shares). Try any of our Foolish newsletter services free for 30 days. We Fools don't all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.