Google expands Pixel phone screens, undercuts Apple on price

Image
AP New York
Last Updated : Oct 10 2018 | 12:45 AM IST

Google's new Pixel phones mirror the industry trend moving the devices toward lusher, bigger screens and add new twists on the camera for taking better selfies and other pictures.

The Pixels have barely made a dent in the market since their debut two years ago, but Google is hoping to change that with the latest models unveiled Tuesday at an event in New York.

Google uses the phones to highlight what it considers to be best features of its Android operating system, while challenging Apple and Samsung with a device tailored for affluent consumers.

The third generation of Pixel phones comes in two sizes, and both feature high-definition screens that span from one edge to another. It's the first time Google has embraced the format, which Apple adopted last year with its ballyhooed iPhone X.

Google is undercutting Apple on the pricing of its phones. It's also hiring photographer Annie Leibovitz to take pictures with the new Pixel in an effort to persuade consumers its camera is superior to the iPhone XS that Apple released last month.

The Pixel 3 will be available October 18 and sell at prices starting at $799. That's $200 below the least expensive iPhone XS.

Google also rolled out a new device called Home Hub that couples a small display screen with an internet-connected speaker. That's similar to Amazon's Echo Show and a new Facebook device called Portal.

But again Google is attacking its rivals on the pricing front. The Home Hub will sell for $149 when it comes to stores October 22. The new version Echo Show starts at $229, while the least expensive Facebook Portal sells for $199.

As usual, the Pixels focus heavily on Google's search engine, maps, digital assistant and YouTube video service.

While all those service are hugely popular, the Pixels so far have generated more media attention than sales. Google has sold an estimated 7 million Pixels over the past two years, almost imperceptible next to the 3.6 billion phones shipped during that time, according to the research firm International Data Corp.

Google doesn't disclose its phone shipments, unlike Apple, which has sold about 388 million iPhones since the first Pixel came out in October 2016.

"If you have a Google tattoo on you, then these are the phones for you," IDC analyst Ramon Llamas said of the Pixel's limited appeal so far.

Google has been somewhat restrained in its distribution and marketing of the Pixel phones, Llamas said, because it doesn't want to alienate Samsung and hundreds of other device makers that feature Android in their own phones. Because Android highlights Google services, it's key to Google's business of selling ads through its search engine and other mobile apps.

The iPhone also features Google's search engine, but Google may be paying Apple as much as $9 billion annually for that privilege, based on the estimates of Goldman Sachs analyst Rod Hall.

Disclaimer: No Business Standard Journalist was involved in creation of this content

*Subscribe to Business Standard digital and get complimentary access to The New York Times

Smart Quarterly

₹900

3 Months

₹300/Month

SAVE 25%

Smart Essential

₹2,700

1 Year

₹225/Month

SAVE 46%
*Complimentary New York Times access for the 2nd year will be given after 12 months

Super Saver

₹3,900

2 Years

₹162/Month

Subscribe

Renews automatically, cancel anytime

Here’s what’s included in our digital subscription plans

Exclusive premium stories online

  • Over 30 premium stories daily, handpicked by our editors

Complimentary Access to The New York Times

  • News, Games, Cooking, Audio, Wirecutter & The Athletic

Business Standard Epaper

  • Digital replica of our daily newspaper — with options to read, save, and share

Curated Newsletters

  • Insights on markets, finance, politics, tech, and more delivered to your inbox

Market Analysis & Investment Insights

  • In-depth market analysis & insights with access to The Smart Investor

Archives

  • Repository of articles and publications dating back to 1997

Ad-free Reading

  • Uninterrupted reading experience with no advertisements

Seamless Access Across All Devices

  • Access Business Standard across devices — mobile, tablet, or PC, via web or app

More From This Section

First Published: Oct 10 2018 | 12:45 AM IST

Next Story