Google tests directory assistance for phones

By Eric Auchard

SAN FRANCISCO (Reuters) - Computer Web search leader Google Inc. on Friday stepped up an experiment to use speech recognition on telephones so consumers can ask for local information, in a challenge to directory assistance providers.

The company is inviting U.S. callers to dial 1-800-GOOG-411 (1-800-466-4411) from any phone to test a voice-activated service free-of-charge that it calls Google Voice Local Search, which is available on its experimental Google Labs site.

"Using this service, you get fast access to the same local information you'd find on Google Maps," an explanation of the new experiment said on the Google Labs site. "You don't need a computer, you don't need an Internet connection, and you don't even need to use your cellphone keypad," it said.

Details are available at labs.google.com/goog411/.

Google's experiment comes weeks after Microsoft Corp. agreed to acquire voice search firm Tellme Networks, in a deal sources said is valued at more than $800 million. The transaction is Microsoft's largest acquisition in five years.

Improving quality and falling costs of voice search technology are enticing Internet players Google, Microsoft, and rival Yahoo Inc. to expand beyond pay-per-click Web search advertising business into pay-per-call marketing.

Kelsey Group analysts estimate the U.S. directory assistance market generates $9.4 billion a year. Worldwide, the market rings up $13 billion, according to data published by Opus Research.

Google has staged on-and-off again tests stretching back to 2002 of ways to allow phone users to use their voices to ask for information, rather than telephone keypads or other more cumbersome approaches. The prior test remains up on the Web at: labs1.google.com/gvs.html/