The $600bn Prize

After a decade of promises, the mobile internet has arrived. So too have the giants of online business, which see the coming of reliable internet on the move as a lucrative mass consumer market.

How to tap into that cashflow will be on the minds of executives from across the world when they gather for the industry's largest annual trade show in Barcelona, which promises to be dominated by Google's plans.

The industry's dominant handset supplier, Nokia, also seems to have turned against the mobile phone networks, launching its own online-services direct to customers.

"It is going to be one of the most interesting congresses for me for a long time," according to Mike Reid, director of the investment group 3i.

"If you look at the experience we have, it is dominated by what the mobile operator wants you to do and see. What we have talked about until today is the mobile internet, where we are going to go is the internet on your mobile - the same internet," he says.

The launch of Apple's iPhone proved that people will use the internet on a mobile phone. But Apple will only ever make up a small proportion of a market that is running at more than 1bn mobile handsets a year. Far more important is the arrival of Google in mobile.

Last year Google unveiled Android, an entire mobile phone software system which is open to all comers. It will reveal an updated version of its software developers kit this week and handsets from the likes of HTC, LG and Samsung using the new technology.

For networks, Android is the thin edge of a wedge that will force them to release their grip on what consumers can do with their phones. The reason a range of Gphones coming on to the market is important, because Google's aim is to open up the market.

"Just because it's open and anyone can put applications out on the handset does not mean that there are not opportunities for the carriers to share in the revenue streams created by those applications," said Rich Miner, Google's manager for mobile platforms.

Samsung - part of Google's alliance - and LG will be announcing a range of new phones at the show. Samsung will unveiling several iPhone-like touch-screen devices using its Croix user interface, which is more stylish than the iPhone.

The importance of software is something which Microsoft has been shouting about for some time. "Apple has validated the belief we had five years ago," according to Scott Horn, general manager of Microsoft's mobile communications group.

"Our goal is to put a smartphone in every person's pocket," Horn said. Microsoft is focusing on the "high-end" market, with forecasts for 20 million shipments this year.

Via Guardian-Unlimited