Where is Google's much-hyped GPhone?

Of all the mobiles that will be at Gitex, the one that is creating the biggest buzz might not even exist. Suspense has been building over reports that Google plans to release its own cellphone.

The blogosphere is buzzing with rumours that the search giant might announce Linux-based mobile software as early as this week and a Google phone, which observers have cheekily dubbed the 'GPhone', by early 2008.

The latter is the most tantalising to Silicon Valley, which is just getting over the June 29 launch of Apple's iPhone.

No evidence

No one has displayed indisputable proof the GPhone exists. But one thing is certain: Google, which made nearly $11 billion in 2007 from web advertising, is investing heavily to target the potentially lucrative and hotly contested mobile- search market.

The vision: mobile-phone service offered free of monthly charges to consumers willing to put up with advertising.

The goal: for Google to broker advertising on mobile phones the way it has on the web.

The fear: Wireless carriers worry that Google will muscle its way into the young market and capture their wireless advertising dollars.

The official line: "Google doesn't comment on rumour or speculation," company spokeswoman Erin Fors said. In recent months, the Mountain View, California-based company is rumoured to have aggressively sought to partner with mobile carriers and manufacturers to make its search engine, maps programme and other software available on more mobile handsets and networks.

If Google does make an even more forceful move with Google-branded handsets to be offered by multiple wireless carriers, it would mark a seismic shift in the mobile industry.

"For Google, maintaining itself as a search leader as wireless Internet access grows is extremely important since this is one area with extremely high growth prospects," said Weston Henderek , senior analyst with market research company Current Analysis. At stake is the intensifying skirmish for the mobile-phone advertising dollar.

Research company Frost & Sullivan in July estimated the US mobile advertising market would hit $450 million in 2007 and exceed $2 billion by 2011. Another company, Gartner, is even more bullish, predicting $3.9 billion in North America and $14.7 billion worldwide by 2011.

"Everybody is really focusing on advertising as a source of revenue, especially in the United States," said Vikrant Gandhi, a strategic analyst with Frost & Sullivan's mobile and wireless group.