The iPhone and Google’s upcoming Android platform are shaking up the wireless industry, according to report released yesterday by In-Stat Analyst Bill Hughes. In an interview, Hughes supported his conclusions with two theories: First, he said Google is primarily using Android to push its agenda of doing location-based search, and second, the two Bay Area companies are implementing change by marketing and merchandising better, not developing more advanced technology. The statements become even more interesting when juxtaposed with two public knocks made recently against Google (NSDQ: GOOG). In the last week or so, Android developers have become disheartened by the amount of support they are getting from Google, and Sprint made comments questioning its ability to address industry fundamentals.
— On Google’s presence in mobile: Hughes said that Google’s interest in mobile relates to its desire to get into location-based search. Because the wireless industry can move slowly, Google needed leverage, which is why it is developing Android (It took a similar approach in the spectrum auction.) “No one is talking about that, but the whole premise and business model behind Android is to be able to do location-aware search.” So far, the focus has been on the Android software and on the devices, but the technology isn’t a lot different from what’s already out there, he said. “If you look at things purely from a technology standpoint, there