Yesterday, when Google dropped their "bombshell", the cheers were deafening. No, not from Steve Balmer, they came from the hundreds of companies with applications for the mobile industry.
It's interesting that 99% of the stories on Google announcement fail to mention what the CFO really said, "we see lots of opportunity in local and mobile". These reporters, the same people that probably use Google's service all day, are eager to see them fail. They missed the big story.
Go through the headlines and see if you can find that quote. Bloomberg summarized it.
It's called the Law Of Diminishing Returns. Google dominates the Internet advertising space with their search engine for the PC, or 800 million devices. They are the biggest fish in that pond. Google ran out of runway space.
Where do they go? They tackle the sea. There are over 2 billion devices waiting for an application that will deliver relevant search/information. Soon, there will be more Internet traffic over mobile devices than PCs. What happens when there is another type of "keyword" to resolve information and deliver ads to?
There have been numerous strategists that say the mobile search and mobile marketing industry will be much larger than PC search. I agree. The mobile can be utilized in ALL of the other forms advertising (TV, radio, print).
Google is getting their search window embedded on a number of new phones and have a good SMS (text message) service. I don't imagine it will be too long before they become the dominant player in mobile.
This is How Google makes a Googol
This really isn't a stumble, it's more like a pause. A pause to Phase 2.
Phase 2 is what ubiquitous computing is all about. Phase 2 is when every physical item in the world can, and will be, connected to the internet, and will deliver relevant information.
People are no longer stuck at their office, home pc, they are mobile, using their mobile devices for more than speaking. The combination of a portable microprocessor and trillions of objects having their own link to the net, this is Phase 2.
So yes, I agree, there are lots of opportunity for mobile.