Google launches new phones, speakers in hardware push

Alphabet Inc’s Google on Wednesday unveiled the second generation of its Pixel smartphone along with new voice-enabled home speakers, redoubling its commitment to the hardware business as it competes with a surge of devices from Apple Inc and Amazon.com Inc.

Google’s new products, including a Pixelbook laptop, wireless earbuds and a small GoPro-like camera, showcase Google-developed operating systems and services, notably the voice assistant. That means usage of those devices should stoke the company’s core ad sales business as buyers of the hardware use Google services like search and maps.

Speaking at the launch in San Francisco, Google hardware chief Rick Osterloh said the new products “perfectly demonstrate our strategy of re-imagining hardware from the inside out.”

The Pixel 2 smartphone comes in two sizes, with comparable features, including aluminum bodies and no traditional jacks for headphones. Prices for the base model start at $649, while the high-end version starts at $849. The phones will be available Oct. 19.

The Pixel phones lack the brand lustre and market share of similarly priced smartphones such as the Apple iPhone or Samsung Electronics Co’s Galaxy S and Galaxy Note smartphones. Still, the original Pixel’s camera and software drew acclaim from reviewers, many of whom expect the line to become a robust competitor at the high end of the Android smartphone market.

Pixelbook, priced at $999, is the first laptop powered by Google Assistant and will support Snap Inc’s Snapchat, the company said. The keyboard folds behind the screen to turn the 12.3-inch touchscreen into a tablet. It will be available in stores from Oct. 31.

Google Home Mini, one of the new speakers, is priced at $49 in the United States and would rival Amazon.com Inc’s popular Echo Dot. It will be available Oct. 19. The Home Max, with dual woofers for more powerful sound, is priced at $399 and with availability by the end of the year.

The Pixel Buds, which are priced at $149, arrive in November. Clips, which is pocket-sized camera with object detection and automatic recording capabilities, “soon” goes on sale for $249, Google said. Videos last only a few seconds and do not contain audio.

The Pixel smartphone debuted a year ago, with analysts estimating sales of more than 2 million, pushing Google to record amounts of non-advertising revenue.

Google’s “other” revenue category, which includes both hardware and sales of online storage services, accounted for about 12 per cent of overall sales in its most recent quarter.

Last month, Google expanded its hardware development capabilities by picking up a 2,000-person smartphone engineering team at HTC for $1.1 billion.

“It’s pretty clear Google is serious about hardware,” said Avi Greengart, research director at consumer data firm GlobalData. “Given that there is a Pixel 2, and given the financial investment, there must be a longer-term strategic intent.”