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Google is not THAT stupid to

Google is not THAT stupid to manufacture a phone! Google is a web/internet SOFTWARE company. It wants its Android operating system to be deployed by Nokia, Samsung, LG etc. on THEIR name brand phones.

The gPhone is no more than a DEMONSTRATION sample to show the networks and phone manufacturers how the Android software would actually work. By letting the phone manufacturers believe that Google MAY come out with its own phone, Google puts pressure on the manufacturers to adopt Android. Hence, Google lets the rumor continue because it benefits Google.

This is the same reason why Microsoft does not make its own computer. If Microsoft came out with its own computer, there would be a SWIFT, MASS migration away from the Windows OS toward Linux and its derivatives, therefore Microsoft won't destroy its steady, reliable OS income stream.

And, the self-manufactured Microsoft Zune, does NOT apply in this case. Microsoft received very LITTLE revenue from portable media players. It risked very little loss of revenue by coming out with its own brand portable media player. Even so, Google must see that Microsoft gained very little revenue with the Zune, spent a great deal of money to bring that product to the end users, upset the companies that were using Microsoft's portable media software, and has a long, hard road to travel in that market.

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