AT&T (NYSE:T) became the last of the big four carriers to take on a Google (NASDAQ:GOOG) Android device today, announcing it would begin selling the Motorola (NYSE:MOT) Backflip on March 7. The relationship is important for all parties involved: Motorola as it fights to regain prominence, Android as it looks to gain momentum and AT&T as it seeks to prove there’s life beyond Apple.
This is the Motorola’s third carrier partner for its Android devices, with only Sprint remaining to woo. The handset maker has been vying for a comeback for awhile now, and it’s made it clear it’s counting on Android to fuel it. In the fourth-quarter of 2009 it did show signs of a revival. The company posted a profit and shipped two million Android devices around the world in the quarter, although it wasn’t enough for it to declare victory yet.
According to Northeast Securities analyst Ashok Kumar, sales of Motorola Android phones have been slowing. On Verizon Wireless, Motorola’s Droid is up against Google’s own Nexus One, which although not a knock-out success, has made a dent on the heavily marketed Droid. Motorola is also up against the slew of other hardware makers betting on Android, including HTC, LG, Samsung, Dell and more. AT&T was an important partner to prove it’s a viable competitor.
Motorola may have needed AT&T the most, but the move is no less significant for both the carrier and Android as well. Google said this week at MWC that manufacturers are shipping more than 60,000 Android handsets daily, and with AT&T’s large reach, that number is sure to grow. Getting AT&T on board will also help Google in its quest to encroach on Apple’s market leadership in the smartphone market.
AT&T promised developers at the Consumer Electronics Show that it would launch at least four Android phones in the first half of the year, including one from Motorola, Dell and HTC. The carrier has had (perhaps more than?) its fair share of criticism, but continues to win exclusive partnerships – and not just from Apple and Motorola. Microsoft dubbed AT&T a “premiere” partner for its Windows Phone 7 Series OS too. It didn’t define what that means, but exclusivity or preferential treatment are two possible premiere benefits. It’s good that AT&T is moving away from Apple before (or if) Apple does the same to it. It’s also great for AT&T that it continues to bring in exclusive partners despite the bad rep its network has gotten.
It remains to be seen how consumers will respond to the Backflip, but – so far – it’s nothing but good news for AT&T, Motorola and Android.