Nexus One Problems – Can Google Pose Significant Threat In The Long Run?

Google’s Nexus One was released in the market place in the first week of 2010. Since then it has not been able to capture the hearts of many, or let’s simply say that it has not lived up to the expectations.

HTC-Nexus-One-boot-up

One of the major problems it is facing is to attract the iPhone users who have been used to the touch and feel option which is somehow now present in the sales model of Nexus One. Most of the people are reluctant to spend money on it unless they become familiar with it with their friends spending money on it first and using their as a working model.

A lot was anticipated and expected by over hyped Google’s Nexus One. The first week of sales did not turn out to be what the sales people sitting in Google HQ had foreseen. According to figures Google only managed to sell 20,000 Nexus One handsets in the first week compared to its rivals iPhone, HTC myTouch and Motorola Droid who managed to cling 1.6 million, 60,000 and 250,000 sets in the first week of sales.

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When compared to iPhone another factor to consider is that it launched 1st generation phone and no Google came out with 3rd generation. Users will looking forward for this technology when Apple brought its phone into the market but right now the basic thing has been here for sometime and for a new product to make its place in the shelves has to have something really special along with the usual features.

Less sales is not the only problem Google is facing right now. Apart from low sales Google also faced complaints about Nexus Ones 3G connectivity problems. The problem does not finish here, with HTC manufacturing it, Google marketing it and T-Mobile offering the connection services it becomes difficult for the user to decide who to blame or reach for help.

Hard times for the users and Google itself does not end here, apart from the faulty 3G system, Google is also charging an Early termination Fee (ETF) in addition to T-Mobile. This means that if a user decided against using Nexus One within the first three months he will loose $550. Google justifies their act by saying that it is standard industry procedure.

Are the people used to the iPhone, Droid or myTouch or they simply didn’t like the much wanted Nexus One. Was the marketing strategy of Google not good enough, Did HTC not live up to the mark in making the handset? What ever may the reason be but the situation right now is that Google is in real problem and it has turned out to be a serious business threat.

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