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Name- Sai Swarup Roll no.

PGP34405 Sec B

When Google entered the telecom market with their Android OS in 2007, the firm sought to
reshape the industry in a fundamental way.
This is why, over the past several Google has used its financial clout and the strength of its
brand to make regular forays into the telecommunications industry.
Developing its own operating system Google hasn't been shy about throwing its weight
around on the carriers' turf. Essentially it wants to give carriers less control over what they
can and cannot do with their networks. For instance, one goal of the Android platform was
to get the carriers to be less strict about what applications and content they will allow to
run over their wireless networks. Net neutrality, meanwhile, will prevent carriers from
giving priority to their own content over the content of rival ISPs and Internet companies.

Google wants users to eventually be able to take their favourite devices with them from one
carrier to another without having to buy a whole new device.The first part of implementing
this vision came in 2007, when Google unveiled its long-awaited Android open-source
mobile operating system. At the time of the platform's release, Google said it wanted
Android to be a starting point for spurring innovation in developing mobile applications that
would give users the same experience surfing the Web on their phone as they currently
have on their desktop computers. In the two-plus years since its debut, Android has landed
on several high-profile devices. Google Communicated of a compelling view of the future
structure of the market or industry and makes explicit how participants, not just the shaper,
can profit from this future state. The shaping view plays a key psychological role: it counters
our natural tendency in times of high uncertainty to magnify risks and discount rewards by
making the potential rewards much more visible and making it seem like the outcomes are
inevitable. In Google’s case, they articulated the opportunity to evolve to a very different
telecom industry structure, one that involved a growing diversity of handset manufacturers
and application developers driving distributed innovation in smartphone technology. In
forming its view of the telecom industry, Google recognized the importance of orchestrating
a robust and diverse ecosystem. Google then formed the Open Handset Alliance with T-
Mobile, Samsung, Motorola, and other telecom providers. Within this group, the non-
fragmentation agreement guaranteed compatibility and integrity of platform (the main
issue with open source) and established credibility with participants and external audience.
The alliance became an industry model necessary to create stable mobile platforms.
The shaping platform, provided standards and protocols that significantly reduce the
participation costs for third parties and accelerates the rewards that they can generate. In
other words, shaping platforms materially alter the near-term economics of participation in
shaping strategies. The most effective shaping platforms foster distinct niches for
participants so that they minimize the risk of commoditization through direct competition
with all other participants. Android’s use of open source licenses, for example, created a
self-supporting ecosystem where app developers could improve existing technologies. By
making its platform accessible, Google was able to mobilize a large and growing number of
participants to innovate around its hardware and software platform, unlocking industry-
shaping innovations. By opening up the hardware side of the smartphone industry, Google
increased the addressable market for app developers and set into motion an interesting
interplay between innovation at the device level and at the app level.