Google Having Issues With gPhone

Is Google having trouble bringing its gPhone to market? According to Global Equities Research that is exactly what is happening. It seems that one of the companies that Google is using to manufacturer the gPhone, HTC, is having problems with some of the features Google wants to incorporate. Also it appears that HTC is concerned how many of these phones will actually be sold by Google and if the market will be big enough. These and other issues continue to plague Google.

In a Barrons article it states:

The word from Half Moon bay is that Google’s (GOOG) “GPhone” cell-phones, being built by various handset makers, could be delayed from an end-of-year introduction to sometime later in the first quarter of next year, according to Trip Chowdhry of Global Equities Research. Among the issues causing the apparent delay are the following: Handset maker High Tech Computer (HTCKF) is “having structural problems to incorporate Google’s demanded feature set”; HTC is “demanding a guaranteed minimum revenue surety from Google”, from which Chowdhry concludes that “Probably HTC does not think there will be enough demand for GPhone.”

Chowdhry adds that “contacts” tell him Google’s operating system software for the phone, Android, “is not able to attract enough developers because toolkits offered by Microsoft (MSFT), Apple (AAPL), Research in Motion (RIMM), and Nokia’s (NOK) Symbian software group, have sucked up software developers’ attention. He also opines that the “uneventful ending of the 700 megahertz auction [for wireless spectrum in the U.S.] has left Android in limbo.”

Which makes one wonder. Is Google trying to introduce to many products all at the same time? Will this make the wonder child of the search world vulnerable to the influences of other companies competing in the same market place?

What do you think?

Comments welcome.

Source.