Here's why Google Fi is set to gain US subscriptions

Google lifted the lid on two new updates to its mobile service, Google Fi, in a concerted effort to grow its subscriber base: It plans to enable richer messaging via RCS and faster 4G LTE coverage abroad in 33 countries.

Subscribers' Business Insider Intelligence

Fi is Googles mobile virtual network operator (MVNO) service that offers phone plans that use a combination of three 4G LTE networks and the companys own network of 2 million Wi-Fi hotspots secured with the services VPN tech.

While Googles MVNO has a number of advantages over competing services its affordable, international, has no annual contract, and is device-type agnostic it has yet to gain significant traction among US consumers.

However, the new updates help increase Google Fi's attractiveness to US consumers looking for better messaging capabilities and international plans. Here's why the updates will increase Google Fi's appeal:

Embracing RCS expands chat abilities for a broader array of phones than US carriers support.RCS is a replacement for standard SMS and MMS messaging formats that enables users to send more content types in interactive formats. This allows for a more personal and engaging messaging experience between consumers who have access to RCS and businesses that adopt it. For instance, an airline can send an image of an interactive card that features boarding passes, airport maps, and flight status updates, as opposed to just a text message. With the update, phones designed for Fi will soon automatically enable RCS, and compatible Android phones will support RCS as long as Messages is set as the default chat app. For comparison, Verizon only supports RCS on the Pixel 3, while T-Mobile only supports it on select Samsung devices.
Moving to faster 4G LTE in 33 of the 200+ countries covered under the service will make Google Fi one of the best options for frequent international travelers.Fi costs $20 a month for talk, text, and Wi-Fi tethering, and for roaming in international countries.Data under the plancosts $10 per GB, but Google will reimburse users for any data purchased and not used in a billing period. Offering fast 4G LTE data speeds in a wide variety of countries at a flexible and affordable price makes Google Fi a better alternative to the T-Mobile One plan, which is one of the best plans for international coverage. That's because, while the T-Mobile One plan offers coverage in more than 210 countries, the plan starts at $70 per a single line and the data in these countries is at 2G speeds. T-Mobile One subscribers looking for 4G LTE speeds internationally need to upgrade to purchase a $5 daily data package, which offers 512MB of 4G LTE data and unlimited text and talk. Google's advantage is significant because demand for international coverage grew for many US consumers in 2018, according to Business Insider Intelligences Telecom Competitive Edge report (enterprise only).

The new updates, coupled with Googles moves over the past year, could help Google Fi corner off a large swath of US subscribers and, in turn, become a threat to US wireless carriers.

Google added a number of new features to the service in 2018: It expanded the plan to work with the majority of Android devices, including those from Samsung and OnePlus, and added support for iPhones in November after previously only supporting the Google Pixel and a small number of LG and Motorola handsets.

And in February, Google Fi introduced an unlimited plan. Google's latest moves to expand the addressable audience and integrate mobile service offerings that either match or improve on those from other US wireless carriers will help position Fi to eat into US carriers' subscriber numbers.

Here's why Google Fi is set to gain US subscriptions

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