Google CEO: Free phones for paid advertising

In an interview this weekend, search giant Google's CEO Eric Schmidt said as advertising assumes a greater role across mobile networks, consumers should receive their handsets for free. "It just makes sense that subsidies should increase" as mobile advertising grows, he said following a speech at Stanford University on the subject of business innovation.

Schmidt previously went on record with his belief that mobile advertising revenues will eventually equal traditional Internet ad revenues; Google will derive almost all of its projected $10 billion 2006 revenues from web advertising. He added Google has no plans to give away phones itself, nor is he aware of similar efforts underway from either carriers or handset manufacturers. You can just imagine their response: "When Google starts giving away free PCs to search the Internet, we'll start giving away free phones to search the mobile web."

For more of Schmidt's interview:
- read this ninemsn article

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