Posted August 2, 2007 9:44 am by with 5 comments

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We’ve found the Google Loophole for their denials they’re building a Google branded mobile phone. What’s the Google Loophole? It’s when Google makes a precisely worded statement denying a rumor, but then turns around and does a variation on it. For example, “we have no plans for an IPO” – at the time they didn’t, but then look what happened.

Anyway, the Google Loophole for the much rumored GPhone is explained by the WSJ. You see, Google’s efforts to get the FCC to allow the connection of any phone to the new 700mhz spectrum, is likely based on its plans to launch a phone. Ah, but they’ve said they’re not interested in building a mobile phone, I hear you cry. Google Loophole!

The specifications Google has laid out for devices suggest that manufacturers include cameras for photo and video, and built-in Wi-Fi technology to access the Web at hot spots such as airports, coffee shops and hotels. It also is recommending that the phones be designed to work on carriers’ fastest networks, known as 3G, to ensure that Web pages can be downloaded quickly. Google suggests the phones could include Global Positioning System technology that identifies where people are.

Google doesn’t plan to charge a licensing fee to hardware makers or operators, people familiar with the matter say. The company has suggested the phones could carry the Google brand alongside the brand of the operator, or they could be distributed without the Google name. The Google brand has yet to appear on a significant piece of consumer hardware.

Aha! Google’s isn’t building the Gphone. They’re building the prototype, mapping out the specs and then shopping existing phone manufacturers for the actual production.

So why is Google so interested in getting into the wireless business? Why do you think? Money baby!

“What’s interesting about the ads in the mobile phone is that they are twice as profitable or more than the nonmobile phone ads because they’re more personal,” said Google Chief Executive Eric Schmidt.

With the FCC deciding that the new wireless network should allow any phone to connect to it, Google’s mobile plans are primed and ready.