December 7, 2010

image As it did with Eclair (Android 2.1), Google has taken the occasion of a new version of Android dubbed Gingerbread (Android 2.3) to bring out a new handset offering a “pure Android experience.”  This time around, that purity is brought to you by Samsung rather than HTC, which produced the original Nexus One, a handset that stole some thunder (but few sales) from the Motorola Droid juggernaut.

Google has used the Nexus handsets for experimenting with distribution outside the carrier channel, even if it made the original Nexus somewhat of a sacrificial lamb. The superior distribution of Best Buy should certainly help with the push of the device.

However, the improvements in Android 2.3 may not do much to drive consumers to the Google-branded handset, at least for a while. Unlike recent Android enhancements that brought improvements such as more home screens, dramatically faster operation, and mobile hotspot capability, .most of Gingerbread’s improvements are under the hood. The marquee feature, NFC, could yield some compelling new applications, but the one most popularly considered – enabling payments – is hardly a magnet.

The “S” serving as the device’s surname refers to the Samsung Galaxy S family that is the foundation for not only the Nexus S design, but defines many of the key hardware characteristics for the Samsung Focus, which many consider “the Windows Phone to get.” With the Galaxy S, Samsung has pursued a strategy of ubiquity versus exclusivity, and so the Nexus S will compete with similarly priced and specced siblings at all four major carriers, including the Vibrant (as well as the faster G2 and MyTouch 4G) on T-Mobile’s own portfolio. Even though the Nexus S is an unlocked device, its (partial) optimization for T-Mobile’s network all but assures that it will be most appealing to customers using the smallest of the national facilities-based carriers.

The Nexus S may be less “a Nexus to perplex us,” but Google’s vanity handsets still seem like a bug in its diversification strategy, one that must be generating considerable head-scratching among Android licensees, particularly those that are not anointed to build a Nexus in a given cycle.. Google is still staying clear of going head to head with OEMs at major carriers, but while it is providing more serious competition this time around, the carriers are better armed as well.

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