According to the latest data, Google intends to focus on the Pixel series smartphones and the development of its own components, paying less attention to cooperation with other smartphone manufacturers.
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For years, Google’s attempts to break into the leadership in the smartphone market have not been particularly successful – Pixel 3 until recently was the company’s main bestseller. However, the manufacturer called the Pixel 6 the “fastest-selling smartphone in its history”, which allowed Google to enter the top five smartphone vendors in the United States.
According to The Information portal, the company is “doubling down” on Pixel smartphones and hardware of its own design. In particular, this involves redirecting the activities of engineers and programmers to Google-branded models to the detriment of optimizing the functions of devices that are not directly related to Google.
Today, Google provides the core software for almost all Android smartphones, with new features being added to devices from all brands. Google’s reprioritization probably won’t affect collaboration with key partners like Samsung, but we’re already aware of Google’s intention to remove support for the Google Assistant on some Wear OS smartwatches, as well as to reduce Assistant features for Driving Mode.
However, Google still has a shortlist of companies like Samsung, OnePlus and Xiaomi for which it will continue to optimize its services as much as possible.
However, many “less important” devices manufactured by Google itself will also suffer. Last month, Google curtailed plans to release ChromeOS laptops, and it is already clear that the company intends to “pull back” from the release of Fitbit watches amid the launch of the Pixel Watch brand.
Apparently, Google is concerned about the loss of smartphone market share by Samsung, from which Apple is gradually robbing customers – in 2022, iPhone shipments in the US for the first time exceeded shipments of Android models. According to some reports, Google believes that the production of its own models will prevent a critical rebalancing in the mobile market.
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In addition, Google intends to make the company “20% more efficient.” This has already led to the suspension of new hires and lower costs in other areas. For example, last month the company slashed spending on its experimental Area 120 division by 50% and also announced that Google’s Stadia cloud gaming service would cease operations in early 2023.
Considered and reprofiling of some employees from the work on the Android Automotive project, used by automakers like Ford, Volvo and other companies to create their own automotive operating systems. Although it has brought in Google a billion dollars annually in recent years, against the backdrop of Alphabet’s $70 billion in revenue in the second quarter of 2022 alone, this is “too little.” However, the changes do not affect the standard version of Android Auto.
According to experts, Google cannot afford to retreat in the implementation of the project to produce Pixel smartphones and its own components, as Apple continues to develop in the smartphone market, and any Google retreat can be used by a competitor to expand its share.
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