While people in other countries use their mobile devices more frequently for online access, the U.S. continues to fall woefully behind. Google has deals with telecom providers including T-Mobile, Vodafone, and China Mobile to preload certain Nokia and Samsung devices. This allows Google a head start in Europe and Asia, but does little to elevate their mobile presence within the U.S.
Google and Yahoo! both offer mobile modified versions but carriers are aggressively pushing their own search tools. Mobile carriers in the US maintain tight control over the content provided on their devices, arguing that they can provide better results based on customer data. People, however, want consistency when they search, regardless of device, and would likely welcome consistency. Though the argument by the mobile carriers makes sense, there are deeper issues at play.
Mobile carriers harbor ill will towards search engines for making billions from the free broadband access they provide. In addition, Google has made no secret of their plans for the gPhone. Lastly, Google lobbied the FCC for open access and standards that could determine how we access the Internet in the future. The underlying issue at hand is the fight for control of mobile advertising.
Mobile carriers are anticipating that search behavior within mobile search will not mirror that of traditional search. Mobile users typically search for local information (weather, restaurants, etc.). Given the drastically limited screen space, carriers expect the lion’s share of mobile search revenue to be generated from a pay-per-call model. If mobile carriers can lock up this space, they can dictate terms and take a greater share in advertising revenue.
Consumers will ultimately dictate their preferences for mobile search. Mobile carriers may lose out if standards are put in place and more open access phones are developed. Either way, it is clear that they do not intend to allow the search engines to easily swoop in and dictate revenue terms. Let the battle for mobile search revenue begin, and let the consumer determine the winner.
Article by Peter Karellas