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Google phone hits Australia via eBay

By Asher Moses | smh.com.au | 29 October
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As with the first iPhone, eBay has created a grey market for Australians looking to buy the Google mobile phone, which is only available in the US with no clear local launch date in sight.

The HTC G1, the first phone based on Google's Android platform, is selling on the auction site for about $1000.

Mark Novosel, telecommunications analyst at IDC, said the devices bought through eBay, which are listed as being "unlocked", should work perfectly on local networks in metropolitan areas but would work only on slower 2G networks in regional areas.

The only exception is Telstra's Next G network, which isn't supported by the handset.

One seller shipping the phones from Hong Kong is offering them for $1025, while US-based sellers have them listed for about $940.

These prices are significantly inflated compared with those enjoyed by Americans.

The Google phones were launched in the US a week ago exclusively on the T-Mobile network for $US179 on a two-year contract. This week Wal-Mart announced it would be selling the phone at a discount for $US148.88.

Australian carriers Telstra, Vodafone, Optus and Three have said they are examining the device with interest following rave reviews from critics. But none have announced launch plans.

Industry sources said that Google, not HTC, had the power to decide when to launch the phone in markets outside the US, including Australia.

Google refused to comment, although other manufacturers are also working on Android-based phones, which could be launched in Australia independently of Google.

Novosel said the imported G1 phones would work on all Australian carriers if all that was required was slower 2G connectivity. For 3G connectivity, the G1 will work only if the carrier's network uses the 2100MHz frequency band.

"Currently Three's entire network is 2100MHz, Optus and Vodafone's in capital cities and major regional centres is 2100MHz, but rural areas and beyond is 900MHz, so it will not work on the 900MHz components," he said.

Telstra's Next G network runs on the 850MHz frequency so would not be supported either, Novosel said.

Dithering over the local Google phone launch could provide ample opportunity for other manufacturers to launch competing offerings.

Three is working on its own brand of smartphone called INQ, which will compete with the iPhone, Android and handsets from Nokia and Motorola. Three's local spokeswoman Sarah Virtue said the company planned to launch INQ in Australia "prior to Christmas".

Research released by Telesyte last week revealed Australia's annual smartphone shipments have grown almost 40 times from five years ago and that nearly three in 10 mobile phones sold this year would be smartphones.

First published by Smh.com.au on October 29 2008
Visit smh.com.au for the latest news updated throughout the day

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