Nevermind if their Nexus One didn’t quite live up to Google’s expectations. This would not stop Google’s CEO Eric Schmidt from feeling happy from the fact that their Android OS which is powering several smartphones in the market is catapulting the sales of these handsets. In fact, according to Mr. Schmidt, there are now around 200,000 Android phones being sold and activated everyday. And what could be the reason why Google’s top honcho felt happier about this fact? – mobile search ads. The more Android phones sold by various manufacturers and mobile carriers everyday, the more opportunities for Google to increase its revenue from mobile phone search advertising. In fact, Mr. Schmidt is looking forward to the day when mobile search ads revenue would surpass that of the revenue Google gets from internet search ads. But another reason that is making Mr. Schmidt is perhaps the fact that the Android OS is now effectively competing with Apple’s iOS in the smartphone market.
“It looks like Android is not just phenomenal but an incredibly phenomenal success in its growth rate,” said Mr. Schmidt .
Mr. Schmidt’s statements of course come hot off the heels of the recent findings of research reports saying that Android phones beat the iPhone in sales during the first half of 2010. So, I guess the Nexus One failure is gradually being compensated by the good performance of Android phones in the smartphone market. And it seems that Google has no regret about this. via Reuters