Google's Pixel 4, Pixel 4XL, and Made by Google hardware event squeezed by Apple, Amazon, and Microsoft Support Phone numberlaunches
Google's hardware event Oct. 15,
dubbed Made by Google, will highlight the Pixel 4, Pixel 4 X, and other
devices, but the real challenge will be positioning its lineup vs. Apple,
Amazon, and Microsoft.
Relative to Apple, Amazon, and Microsoft, Google's
hardware unit resembles more of a hobby. Apple is clearly all
about hardware and the iPhone 11. Amazon's hardware strategy revolves
around Alexa but features a wide variety of devices including smart frames
and even a smart ring to complement an army of smart speakers.
And then there's Microsoft, which highlighted
its roadmap and the Surface Neo and Duo, two foldable devices due holiday 2020.
Microsoft's
Surface revenue for fiscal 2019 was $5.71 billion.
Simply put, Amazon and Microsoft,
two companies with hardware units that rhyme with what Google is trying to do,
have more scale. For Microsoft, Surface hardware is about showing what the
Windows platform and assorted productivity apps can do. Amazon is about
carpet-bombing consumers with devices powered by Alexa, which ultimately leads
to more e-commerce.
Google CEO Sundar Pichai said on
its second-quarter earnings conference call that the company has
"continued to invest in our hardware business." He added that Pixel
unit sales in the second quarter grew 2x year over year due to the Pixel 3A
launch. Google Home products will be moved under the Nest brand, which is
expanding globally. Google's hardware unit fits in the company's "other
revenue" category, which is powered by Google Cloud, apps and in-app purchases
and YouTube subscriptions. For the six months ending June 30, Google's
other revenue was $11.6 billion. Hardware is a small part of that mix.
Google's devices team needs keep up with competition
from Amazon, whose Echo and Ring products lines now cover a wide swath of the
smart home. And Microsoft's new Surface line of products has put Google on
notice that Microsoft Support Phone numberis back in the smartphone race (using
Android!) and doubling down on thought leadership for laptops and tablets.
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