We have a hands-on comparison or does it even matter when the market for 3G phones is largely untapped

Nexus One

The Google Nexus One phone is out and the inevitable comparisons with the iPhone have started. Is it better? Will it kill the iPhone or at least take the lead?

Considering that Apple only has .5% of the market for 4G post-pay phones in the US, the question is really irrelevant. Google has a much wider market to look at than the one that Apple has carved out in two years.

The Google Nexus One looks very interesting and I would switch in a heartbeat mainly to try it out but the phone is not available in Canada. Google has the website for purchase at $529 US turned off if you land from Canada. Give me a week or two to get around that if I can.

Key advantages of the Google Nexus One are: it’s new, multi-tasking, integration with Google applications and open technology.  You can run any Android applications on the Nexus One and you don’t have to lock into a closed shop like the iTunes Store. The phone can be purchased directly from Google unlocked and available for any GSM network. This frees the customer to pick the carrier of their choice. It will put pressure on the networks to drop 2 and 3 year contracts.

The Nexus One is available in the US, UK, Hong Kong and Singapore. Thank the CRTC and Canadian government for slowing down a new technology from our nearest neighbor.

“We want to gradually roll out the Nexus One in different countries. It will ensure that the ordering process works smoothly and also help us gain feedback . We also wanted to ensure that the import regulations didn’t make the phone prohibitively expensive,” said a Google spokesperson The Economic Times
In the meantime, check out the comments from Frank Russell of The Mercury News

Nexus One first impression: A sleek Google phone, worthy vs. iPhone

Call it the Google challenge: After a few hours with the new Nexus One, would this longtime Apple fan be willing to trade in his iPhone? The short answer: It’s very, very tempting.

The Mountain View Internet giant loaned the Mercury News a Nexus One running on T-Mobile’s 3G network. The phone actually is made by Taiwan-based HTC. At first glance, it’s so sleek, stylish and sexy, we were almost wondering: Where’s the Apple logo?

The user interface — powered by the Android 2.1 operating system — is attractive — in a minimalist, functional and Google-esque manner. Initially, it’s not very intuitive, but it doesn’t take long to learn.

One nifty feature is a tiny trackball. Once you get used to it, the trackball makes navigating Web pages speedy — and prevents fingerprint smudges on the 3.7-inch touch-screen.

At first, I assumed the trackball was like the iPhone’s home button, but instead, the Nexus One has a “home” icon, one of four lining the bottom of the screen. The other three are “back,” “menu” and (of course, it’s Google!) “search.”

Mike Swift, who covers Google for the Mercury News, set up the phone in just a couple of minutes with his existing Google account and downloaded several apps from the Android Market.

I tested Web browsing; checking news, weather, e-mail and Facebook; and using Google Maps navigation for a quick walk from the Mercury News to our nearest corporate coffee chain. All performed as well as my iPhone and with the agility you’d expect from Google.

Many of the apps allow for voice control. A test e-mail I sent using voice technology unfortunately wasn’t exactly what I said. However, voice searches for MercuryNews.com and “finance-dot-google-dot-com” took me exactly where I wanted to go.

You can use the touch-screen keyboard for e-mail and other apps, but that can be awkward (just like with the iPhone). The Nexus One (again like the iPhone) helps out by suggesting complete words as you type.

I downloaded Pandora, the free music service, from the Android Market. The phone warned that Pandora puts a heavy strain on the wireless network — so you’d want to make sure you have an unlimited data plan. Downloads also inform you what personal data they need to work.

Google pre-loaded some music on the test phone, and you can buy downloads from Amazon.com’s MP3 store. Music streamed at a fidelity comparable to what I’m used to from the iPhone. And as I listened to Pandora while checking Facebook, it suddenly occurred to me: I can’t do this on my iPhone.

(By the way, the Nexus One is perfectly adequate as a phone, although I didn’t have a chance to test the voice connection very far from the Mercury News.)

A couple of negatives: The touch-screen itself was balky at times, which was frustrating for someone used to the iPhone’s responsiveness. And the name! “Nexus One” sounds more like a science fiction movie from the early ’80s than a cutting-edge “superphone,” as Google calls it.

You can buy one at www.google.com/phone for $529 unlocked — meaning you can use it month to month on any compatible network — or for $179 with a two-year T-Mobile contract. Verizon Wireless plans to offer it in the spring.

Oddly enough, this writer (recently sprung from a contract with AT&T) is in the market for a smart new phone. I might very well buy a new iPhone, but a few hours with the Nexus One has made that a much harder decision.