Google delivers fewer Pixel phones

Google has shipped fewer Pixel phones in recent months than in the same period a year ago. According to parent company Alphabet, Google has “headwinds” in the smartphone market due to strong competition from high-end smartphones.

Alphabet won’t say how many Pixels it has sold in recent months, but the company does say Pixel 3 sales were lower due to pressure in the high-end smartphone market. In addition, Alphabet mentions that Google will announce I/O hardware at its own developer conference next week. There have been rumors for months about a cheaper Pixel 3a and 3a XL.

When asked by an analyst whether the comparison of Google’s hardware division with that of Microsoft ten years ago is justified, Google CEO Sundar Pichai answers in the negative. Ten years ago, Microsoft’s hardware division had setbacks such as the Kin’s flop and the cancellation of the Courier tablet. “We’re still in an early stage, but we’re very committed. Looking at our business for Google Home and Assistant products, we’re doing very well. I think we’re market leaders, especially when you look at the global position. With phones, we are in a phase where there are year-on-year headwinds. I’m still excited about the speed of innovation, 5G and the early look at foldable smartphones.”

Alphabet had a turnover of 36.3 billion dollars, an increase of 17 percent compared to the same period a year ago. Operating income came in at $6.6 billion, nearly 14 percent less than a year ago. The decrease is due to the European fine for abuse of power with AdSense.