The Internet Mega-Giant Google (GOOG) looks to grow bigger claiming they are throwing off the gloves and will now take on the entire Telecom Industry. Google promises to offer users free calling and one-stop control over features such as text messaging, internet, etc. This new-line service is called Google Voice and it aims to not just take on Internet calling shops like eBay's (EBAY) Skype and Vonage (VG) but also threaten Verizon (VZ), AT&T (T), Comcast (CMCSA), Time Warner Cable (TWC), and Cablevision (CVC). Google voice will be designed to allow users to check messages of several phone accounts, read voice messages converted to text, send text messages, call within the U.S. for Free, and access Google's Free Directory. Mainly the goal is to bypass the Phone company altogether. Google's big step is making John Chambers CEO of Cisco prediction 11 years ago correct. He stated that "As the majority of load on the network becomes data and video, voice will become free. First, it will commoditize, then, literally, it will become free." When this statement was first said it shocked people as telecoms at the time were making great profits. Google still has some work to do with the service, for instance figure out how to make money off a $0 service. The Long-Term Outlook positions Google to be the next generation company and dominate any form of communication where its internet, email, or now phone. If this service can one day become successful then Google has paved the path to be an $1,000 stock. As for the competitors, they need to have a backup plan as why would anyone pay $100s a month to AT&T or Verizon when Google offers similar service for free. If they cannot adapt to the way the industry is changing the companies will be in for some tough times ahead.
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