There is speculation that Google is readying a successor to the Nexus One smartphone (pictured), despite the fact that Eric Schmidt, the CEO of the company, has ruled-out a second device in the line. Much of the most recent speculation appears to originate from UK business newspaper City AM, which says that “the second Google-branded mobile phone will hit the UK in time for Christmas through an exclusive deal with Carphone Warehouse.” It was suggested that while Google’s web-only retail model for Nexus One had failed, the fact that “Nexus Two” had a full retail presence would be more appealing to potential customers. The proposed device would run the next generation Gingerbread version of Android, using a dual-core Nvidia processor, and numerous manufacturer partners have been mooted – including Samsung, which has already had significant success with its Android-powered Galaxy S smartphone, and Motorola, which was linked with an earlier Nexus Two. HTC, manufacturer of the Nexus One, has been largely absent from the latest rumours. It was also reported that Samsung is set to announce a new Android device on 8 November 2010, although this could equally be a Gingerbread-based Galaxy S successor.

What is not immediately clear is why Google would want to offer another own-brand device, when Android is already gaining momentum in the market, and Nexus One was something of a high-profile failure for the company. While the first Nexus One was more advanced than its rivals when announced, products from competing vendors soon caught it up – and passed – with the benefit of full operator marketing support. The concept of selling a device through Google’s own channels also failed to generate much in the way of consumer interest, and there were numerous reports that Google had struggled with the logistics of the after-sales element of selling smartphones. Indeed, by the time that Nexus One reached the UK market it was backed by Vodafone, although this operator already had other Android-powered devices in its range. While Motorola may see the benefit of launching a device with additional backing from Google, it is unclear what Samsung would gain from the relationship, what with Galaxy S already being a flagship device for Android in commercial terms. The original Nexus One is currently being touted to Android developers.