It seems the question of whether Google will be staying in the business of designing flagship Android phones has been definitively answered, and by none other than the man in charge: Google CEO Eric Schmidt. While there has been speculation for some time that a Nexus Two may never happen, Eric Schmidt has effectively confirmed that this is the case…(emphasis ours)

Initially, Google felt that they needed to build a device to help Android along so they worked with HTC to create the Nexus One handset. Schmidt says: “The idea a year and a half ago was to do the Nexus One to try to move the phone platform hardware business forward. It clearly did. It was so successful, we didn't have to do a second one. We would view that as positive but people criticised us heavily for that. I called up the board and said: 'Ok, it worked. Congratulations - we're stopping'. We like that flexibility, we think that flexibility is characteristic of nimbleness at our scale."

As a Nexus One user, I feel a little sadness when reading this comment; though, Schmidt has a point. The number of powerhouse Android devices available today is far greater than when the Nexus One launched. Fact aside that Google is not a handset manufacturer, it seems a logical course of action given today’s market for Android devices, which is growing rapidly.

Of course, there is also the fact that Nexus One sales have been notoriously slow, despite the device’s high popularity with Android developers (such as Cyanogen). Still, it seems Google has made the right decision in terms of business and practicality. With devices like the super-fast Galaxy S being released, it seems Google no longer needs to spearhead the Android device market.

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Source: Telegraph