Google's move is likely to benefit consumers as competition leads to lower prices, writes JOHN COLLINS

FROM A relatively unknown but highly accurate search engine 10 years ago to introducing a mobile phone to huge global fanfare may seem like quite a stretch for Google. But for a company which modestly proclaims its mission is “to organise the world’s information and make it universally accessible and useful” it’s all part of the grand plan.

The company is still synonymous with web search, with the word Google now commonly used as a verb for looking up something online. The search engine, which made its debut in the late 1990s, and the billions of dollars of advertising the firm sells on the back of it, is still the core business but Google spent much of the last decade expanding into other areas.

First came services to find images and online news. Shortly after came forays into providing software to publish blogs and then, more controversially, the ability to search the content of published books.

Whether with maps, e-mail or social networking Google’s team of young Silicon Valley engineers was not afraid to take on major players like Microsoft and challenge the status quo, in particular authors and other copyright owners who questioned why the search engine should be providing free access to their works.

The move into mobile phones has long been expected. Technology watchers have spent much of the past two years speculating that an announcement was imminent. Until yesterday Google fans had to content themselves with phones from third parties including Motorola, Samsung and HTC, which run Google’s Android software for mobiles. While waiting to put its own brand on a phone Google beefed up its capabilities by buying companies with technology to deliver mobile advertising and to make low-cost internet phone calls.

The Nexus One was introduced as Apple continues to dominate the market for high-end smartphones with the iPhone. Not only is the device, which is more handheld computer than mere phone, selling over five million units each quarter, it is also placing Apple at the centre of the emerging mobile internet trend. Need to find a nearby restaurant, post a picture to Facebook or figure out what that planet in the night sky is? Then pull out your iPhone.

While many of Google’s applications run on the iPhone, the search giant is clearly concerned that Apple is gaining too much influence. Apple has broken many of the rules of the mobile space with the iPhone. For instance, it established the App Store so that users could easily add software from third parties. Yesterday Apple announced three billion pieces of software had been downloaded from the App Store and in a first for the industry Apple gets 30 per cent of all revenues.

While the iPhone has had little real competition during its first two and a half years, early reports suggest Google could just be on to something with the super-slim Nexus One.

Irish buyers will have to wait to get their hands on a Nexus One, but the battle between Apple and Google, coupled with competition from mobile networks to have the latest handsets, will benefit consumers as prices will drop during 2010 and new capabilities will be delivered almost daily.