Solving the mobile search puzzle

Google and Yahoo have done a bang-up job optimizing search tools on the wired Internet, and the companies are moving aggressively into the mobile space. But they are going to face fierce competition from white-label companies that are partnering with wireless carriers. I know; I talked mobile search with executives from Networks In Motion, InfoSpace, Medio Systems, JumpTap, VoiceSignal and SnapIn Software as part of a CTIA panel I moderated on the subject.
It’s too early in the evolution of the mobile search space to declare a sure winner. Indeed, more than one person pointed out that a few years ago, traditional thinking had AOL Time Warner as the dominant player on the Internet. Google’s Internet successes came about by figuring out how to optimize search and integrate advertising into its business model.
While mobile search may start out as a way for people to find their favorite ringtones and wallpapers, it likely will evolve into queries for more detailed information, often called discovery. And, unlike the wired search world, people will use the wireless Internet to find real-time information tailored to their specific location and situation. That could mean searching for a nearby Italian restaurant using GPS, or paying for driving directions to Aunt Betty’s. Another example: How do you find the ATM nearest the lounge you are at on Saturday night? (Imagine the possibilities!)
Carriers, which plan to be much more than wireless pipes, can use mobile search to create more value for their customers. For instance, carriers could provide general airline information for free, but charge a premium for alerts on flight delays and possible alternative flights. The search service could be set up to offer a link to the airline with the alternative flight so the customer could buy a seat on that flight.
There are many challenges: The number of clicks, optimizing for different handsets (it does no good to try to download video to a 2G phone) and simple user interfaces are just a few of the obstacles that could impede adoption. But therein lies a lot of opportunity for companies that can solve a piece of what could be a multimillion-dollar puzzle.