NEW YORK: Google is preparing to sell wireless telephone services directly to US consumers after reaching deals with carriers T-Mobile and Sprint.
The move is likely to have big impacts on the US wireless industry, potentially resulting in price cuts and improved speeds.
Google officials have been working on the wireless project for more than a year.
Google is already in a powerful position in the wireless world, with its Android operating system running on more than 80 per cent of the world’s mobile phones.
Google will resell wireless service on the Sprint and T-Mobile networks under separate agreements with each provider.
Google might start with limited service in select US cities or to users of its Google Fiber broadband internet service.
US mobile phone service is currently dominated by Verizon, AT&T, Sprint and T-Mobile.
Faced with dwindling margins, Sprint recently cut 2,000 jobs after reporting a $765 million loss in its fiscal second quarter.
Stock prices for Sprint and T-Mobile were up 5.53 per cent and 1.83 per cent respectively following news of the deals.
