Google Phone, AKA, gPhone

[Andrew Turner]

Here's the article.

Now here're two snippets:

6. Google could subsidize the phone out of its own pocket, perhaps giving it away for free to drive more traffic to its revenue-producing ads — a strategy that's worked for nearly every other project in Google Labs.

7. If Google were to try to sell a smartphone below cost, the company would be facing a 21st century version of the Microsoft (MSFT) antitrust trials, and the start of a long, slow decline.

Can someone explain the difference between selling a product under cost and giving it away? Why is one OK, and the other not?

PS:
I'd place this thread in the Tech Section of the Boards, but I couldn't find it...

[Ambrosia Slaad]

Andrew Turner wrote:

Can someone explain the difference between selling a product under cost and giving it away? Why is one OK, and the other not?

It think the only real difference is now it's marketed and written off on the books/stockholder reports.

And it's not like Microsoft got into any real trouble over the antitrust findings in the U.S.

I'd love for Google to get into this area just to see renewed pressure among the carriers to reduce their current oligopoly pricing practices.

[Andrew Turner]

I think we don't have a Tech Section because almost all the tech-related threads are never more than two to a half-dozen posts :-(

[Crimson Jester]

Andrew Turner wrote:

I think we don't have a Tech Section because almost all the tech-related threads are never more than two to a half-dozen posts :-(

Well maybe

I like the idea of the G phone but truthfully had nothing to add.
I post anywhere and everywhere I can.

[Patrick Curtin]

BUMP!