01 May, 2019
Sales of the Google-made Pixel smartphone are falling, company executives said in its first quarter earnings call on Monday - further pointing to the tech giant's struggle to build a meaningful hardware business.
Alphabet's chief financial officer, Ruth Porat, says Google has revealed that industry-wide pressure on high-end phones was the main cause that led to Pixel's poor sales during the first quarter of 2019.
"Phones definitely across an industry, I think we are working through a phase where there is definite year-on-year headwinds", Pichai said, never explaining what those "headwinds" actually entail.
This comes ahead of the smartphone's official unveiling alongside its larger sibling, the Pixel 3a XL, on May 7 at the company's 2019 I/O developer conference. Moreover, Google has already reduced the price of its brand new Pixel 3 and 3 XL by $200 on its online store.
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While Google is poised and ready to expand the Pixel family, leaks are still coming in. Based on the latest rumours, Google will debut a pair of brand-new Pixel smartphones alongside Android Q next week.
Now, although Google Pixel flagships model failed to reach the set annual sales target, the upcoming mid-sized phones might manage to change that.
Some have questioned why Google would even bother with a cheaper family of Pixel phones given that 1) customers could just buy an older Pixel 2 with decent hardware specs, or 2) take advantage of the many promotional offers that have been available for the Pixel 3 since its release. Lastly, the Pixel smartphones are Verizon exclusive and this has likely limited demand too. The Pixel 3a duo is has been surrounded by numerous leaks.