After months of speculation, the search giant Google is finally and officially releasing its own mobile phone service, Project Fi. Initially as an invite-only in the U.S., the wireless service that is introduced formally on April 22, 2015, is not meant to be a straight competitors to the existing mobile providers, its opening a seamless communication by using the available structure under one umbrella.
To build Project Fi, Google is hosting its own mobile virtual network operator (MVNO), pretty much similar to Virgin Mobile and Republic Wireless. The project leases network resources from other providers. So instead of building and maintaining its own networks of cell towers and repeaters, Google uses the already available structures from T-Mobile and Sprint that already had millions of pre-vetted WiFi hotspots.
This way allows Google to switch from one network to another to ensure its subscribers get the best signal. Project Fi will also incorporate WiFi to ease the data usage, switching between WiFi and cellular networks on the fly, can give users automatic connectivity to over a million open, public hotspots. By using the already available structures, Fi is hoping to give a seamless mobile experience in real-time.
"Even in places like the U.S., where mobile connections are nearly ubiquitous, there are still times when you turn to your phone for that split-second answer and don’t have fast enough speed," wrote Nick Fox, a Google Vice President who led the roughly two-year development of Project Fi, in a blog.
Google created Fi to fill in the gaps in people's already mobile-infested world. Like for example if someone initiates a phone call while connected to WiFi, Google will automatically switch to the strongest cellular network available in reach at that time. The call will seamlessly transition from WiFi to cell networks so "conversation doesn’t skip a beat", said Google.
The secured WiFi connection is first spotted in recent Android version in which it takes the role as a gatekeeper to encrypt data connections in order to enhance security for the user's device data when its connected to one of the verified hotspots.
Initially available for Nexus 6 users using special Fi SIM card. Motorola, as the vendor for Nexus 6 acknowledged the program by calling itself the "first" hardware partner for Project Fi.
Google Fi that can also be used with Google Hangout to check voice mails and text messaging, also has the phone number "in the cloud" feature, which means the owner will be able to make calls, as well as send and receive texts on any device.
Earlier, some carriers such as T-Mobile and AT&T, have begun offering data rollover. The pay-as-you-go method takes data charges to a new territory, in which can be acceptable to those subscribers that rarely go beyond their monthly data limits.
The Project Fi is initially offering nationwide coverage. Whether or not the user has 4G LTE connectivity varies by region, it also does with the major carriers.
T-Mobile CEO wrote a blog post praising Google's new service, and said he expects T-Mobile to host the majority of Project Fi's data needs since subscribers will be directed to the network that's fastest.
A Sprint's spokeperson said that "we are proud to enable Google’s entry into the wireless industry as a service provider." But executives of the company was more nervous about the risks of partnership with Google. The company negotiated volume triggers in its agreement that give the carrier the ability to renegotiate if Google's service grows too large.
While Verizon at first declined to comment, AT&T called Project Fi a niche product.
Google first announced its ambitions as a wireless carrier back in 2014, when Senior Vice President Sundar Pichai delivered a keynote at the Mobile World Congress (MWC) in Barcelona. At that time, Pichai said the program would be at a "small scale," and that it shouldn't be a direct challenge to existing operators.
This is similar to Google Fiber which offers broadband internet service with speed about 100 times faster than the U.S. average. Despite its small scale, the service that is only offered in a handful of cities, has prompted rival broadband providers such as AT&T and Comcast to improve their internet services.
"Everything we do, we take an ecosystem approach, we work with partners," said Pichai. "We don't intend to be a network operator at scale. Out goal here is to drive a set of innovations which we think the ecosystem should adopt."
Project Fi in its invite-only basis, offers just one type of plan that costs a $20 a month, plus $10 for every gigabyte of data, wrote Google in a blog post. This includes unlimited domestic calls, unlimited U.S. and international texting, WiFi tethering and free data coverage in over 120 countries.
The major difference in payment is that Google will refund, in the form of a credit, any money spent on data the user didn't use. "Since it's hard to predict your data usage, you'll get credit for the full value of your unused data. Let's say you go with 3GB for $30 and only use 1.4GB one month. You'll get $16 back, so you only pay for what you use," wrote Google in its blog.
This is a scalable change from other major carriers, whose revenues depend on charging a flat monthly fee for data.
Conclusion
Google's Project Fi is marking the company's strategy to even embrace mobile even more.
In its earliest form, Google Fi can't be seen as a game-changer, but it made a good concept of pairing two rivals (Sprint and T-Mobile) under a single umbrella that benefits all parties. Furthermore, Fi is used to provide a better boost in Google's long-running Nexus program.