We all knew the Nexus One was a project by Google to help change the wireless industry as we know it. They were hoping to make things more open, similar to how GSM operates. By selling an unlocked phone, they were hoping to be able to offer it on every major US carrier, but that hasn’t happened. They had a deal with T-Mobile originally, which offered a full-price unlocked phone, or a subsidized option. A few months ago, they released an unlocked version that is compatible with At&t 3G. There were also announcements of having support for both Verizon Wireless and Sprint, both of which seem to have fallen through.

While Google hasn’t given up on the Nexus One, which remains a very popular device among developers, it appears as though they’ve changed their business model and will be closing their online store.

“But, as with every innovation, some parts worked better than others. While the global adoption of the Android platform has exceeded our expectations, the web store has not. It’s remained a niche channel for early adopters, but it’s clear that many customers like a hands-on experience before buying a phone, and they also want a wide range of service plans to chose from.”

So what’s their plan now? They’re planning on working with carriers to offer the Nexus One (and future Google-branded devices) through existing retail channels. Once that happens, they will be closing down the store, and instead, use it as a portal to showcase different Android devices available worldwide.

I, for one, have been very satisfied with my Nexus One, and even with the Droid Incredible out there and the Evo coming, I love having the freedom the Nexus One offers without jumping through hoops to unlock it and root it.

Source: Official Google Blog