Apple has drawn a lot of attention lately for banning applications from its iPhone. There was the Me So Holy app (which let users paste their face on a picture of Jesus), the Hottest Girls app (featuring nude photos) and the disturbing Baby Shaker app (shake your phone to quiet a crying baby). But the latest app to get the boot has been the most controversial rejection yet: Google Voice. The decision, made last month, immediately drew the attention of the U.S. Federal Communications Commission (FCC), which demanded that Apple explain why the app was rejected. There were even whispers that iPhone’s exclusive U.S. carrier, AT&T, was behind the ban.

Why such a backlash? Because there’s a lot at stake. Google Voice is more than just another fun iPhone add-on. It could rock the very foundation of the traditional telecommunications landscape. By offering consumers the promise of a “Google number” for life, which replaces their existing home, business and cellphone numbers, Google Voice is a bold attempt by the Internet giant to wedge itself between consumers and their cellphone carriers. Once you subscribe, all your calls are routed through Google’s servers before they even reach the phone company, and you control which calls can reach you where. On top of that, the service offers free voice mail, a free voice mail transcription service—even free long distance. Letting Google park this app on the iPhone’s home screen, says Carmi Levy, an independent technology analyst, would be like “renting space in your business to someone else who then uses that opportunity to cut the legs out from under your business.” Continue…