Google has Pixelbook has been canceledYou’ve likely seen many people write about the product line. It’s not great news for fans of the product line but they are few and far between. I’m one of them.
Google didn’t have to make another expensive laptop that very few people would buy. Other companies are willing to build them. To be honest, it’s probably the best thing.
Google is closer to Microsoft and Apple than Apple, even though it is the smartphone that most people think of. Apple creates products and software that runs on those products. Google — like Microsoft — makes software for everyone else.
Microsoft makes laptops. Google makes phones and other smart home products. There are specific reasons for these products.
Microsoft was the only company that ever built a laptop. I am referring to the Surface RTWe quickly realized why no company would want to make something like it. A few years later, ARM chips in laptops are a thing. Windows is quite good at running on them. It was only possible because someone tried it.
Google also makes Pixel phones and other products to meet specific needs. Although a Pixel phone is not for developers, it can be used to test hardware configurations that could improve Google’s other more profitable business. The purpose of selling the phone to consumers is to increase access to Google services, such as Photos.
Google also sells Wi-Fi routers, cameras and home hubs. These devices are used to collect data in ways that other companies do not, and can cause it to lose money on hardware. Netgear won’t make a profit. Nest WifiProduct that is closely tied to your Google Account, for instance.
Google must build some hardware. Google Chromecasts, Wi-Fi routers and phones all exist to collect data in the manner that Google intends. This is it for now.
That’s the thing we often forget — Google is a company that makes its money on user data, not by selling Pixel phones or Pixelbook laptops. It works best when other companies use the products to collect the data.
Counterpoint Research research analyst Sujeong Lim It is put simply and eloquently: “My belief is that they may end up obtaining information about users via the device rather than making money from sales of the device.“The name on the back of a device doesn’t matter if the goal is to collect as much information possible.
Google’s laptop business is an excellent example. When Google released the first Chromebook Pixel, there was no company building a high-end professional-level Chromebook. Chromebooks were advertised as affordable machines that were “good enough”.
Google created a Google Model to help gauge the response of expensive models. Google added more to emphasize the point. Then other companies started to make similar products. Google’s data is free from spending money and allows companies such as ASUS and HP to produce excellent products at lower costs with higher profit margins.
This scenario is win-win for everyone. Google has its data. OEMs can grow their product lines without losing money. You and I can also purchase the product that interests us. Google can make more money by having close relationships with OEMs than it would if it was to create its own hardware. Similar to Microsoft.
This will be the case with smartwatches, too, once the new model is released. Pixel Watch. It is being made to further some specific goals in the wearables market and once other companies adopt them — or those goals just can’t be realized — Google will stop making them.
We will never see the same in regards to smartphones? I don’t know. I can tell that Google could probably get all it needs from Motorola or Samsung, and stop making Pixel phones. Building hardware is not something that companies like to lose.
Although it may be a significant deal for Google to kill off another product, it doesn’t seem like Google thinks so. It’s only business.
