Should AT&T and Verizon Fear Google's Project Fi Wireless Phone Service?

[[Coi] Mr.CLuBBeR]

Turning the wireless world upside down

Google is nothing if not ambitious. Of course, not everything Google touches turns to gold the way search and Gmail did -- we're looking at you Google Plus. So, we'll have to wait and see what impact Google's newest venture, Project Fi, has on the industry it's competing in (wireless phone service). In the meantime, let's have a look at what Project Fi is and what it could be.
Project Fi is Google's way of turning itself into an MVNO, or Mobile Virtual Network Operator. Breaking it down even further, Project Fi is a new phone service, one that's currently an invite-only affair, as many of Google's initiatives start out. Should you request an invite and receive one, you'll be eligible for a custom plan that's unlike anything else out there.
Let's talk pricing. There's one simple plan at one price with 24/7 support. It costs $20 pre month and includes unlimited talk, text, Wi-Fi tethering, and international coverage in over 120 countries. What about data? You'll pay a flat $10 per gigabyte for cellular data in the U.S. and abroad.
The cool thing about Project Fi's pricing is you only pay for what you use. If you sign up for 3GB per month and only use 1GB, you'll receive a credit on your next bill for the unused portion. And by that same token, if you sign up for 1GB and end up using 3GB of cellular data, you'll owe for the extra data you used -- there's no arbitrary penalty.
Keep in mind that's only for cellular data. That's important because depending on where you are, you may not be connected to a cellular network. Project Fi seamlessly connects your phone to one of the more than 1 million free public Wi-Fi hotspots that Google has approved of, and does it in the background so you don't lose a connection while you're on a call or surfing the net.
Google's also teamed with T-Mobile and Sprint to tap into their cellular networks, so if you're within range of Wi-Fi but are in a covered cellular area, your phone will hop on cellular.
Speaking of phones, there's one the catches. At this stage, Project Fi is only available on the Nexus 6. If you don't have one and you're selected to participate, you can purchase one outright for $649 (32GB) or $699 (64GB) plus taxes, or break up the payments over 24 months. The other catch is there's no family plan.
This could be bad news for Verizon and AT&T, though their networks are generally considered better and more widespread than either T-Mobile or Sprint. The question is, will Wi-Fi hotspots make up the difference? Stay tuned, the wireless wars are about to get interesting.
Oh, and if you want to put your name on the list for an invite, go here.
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