Eric Schmidt told Reuters “Your mobile phone should be free. It just makes sense that subsidies should increase” as advertising rises on mobile phones. While a certain percentage of the phones/service will be free or heavily subsidized (and it is not a new idea by any means, 3 in UK is already experimenting with it and there are MVNOs that desire to be ad-subsidized) by advertising, any “mass-free-phones” is not going to happen anytime soon. It is still a services business over operator’s network which is run on a finite spectrum.