The smartphone market is expected for a significant change as Google announced the launch of its Nexus One mobile handset manufactured by HTC. The company also launched online store to market its services targeted mainly towards the mobile subscribers.

The online stores initially will offer services from Vodafone in UK and from Verizon Wireless in USA. Other countries where the handset will be launched soon include Singapore and Hong Kong.

Among other features on offer, the phone also has voice recognition software allowing users to dictate emails and other instructions in case they do not want to use the keypad.

The phone is mainly pitted against Apple’s iPhone. It is also expected that Google may gain upper hand in the mobile web space with the launch of this handset as most of its online services can easily be integrated with the applications available on the handset.