OAKLAND, Calif., Oct 6 (Reuters) – Google’s debut smartwatch will go on sale on Oct. 13 for $350, Alphabet Inc’s (GOOGL.O) unit said on Thursday, taking up a field dominated by the Apple Watch in times of inflation – hammered consumers shun all sorts of expensive wearables.
At $100 more than Apple Inc.’s (A`L.O) lowest-cost model and limited to people with Android phones, the Google Pixel Watch faces huge barriers to adoption, according to market analysts. Even Apple Watch sales have declined this year as consumers delay buying or choose cheaper competitors.
“The market isn’t as resilient as it used to be,” said Jitesh Ubrani, research manager at market research firm IDC, adding that aggressive discounting will be crucial for Google.
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Google apps already work with watches from companies like Apple, Samsung Electronics Co (005930.KS) and Fitbit, which Google bought last year and whose devices are known for tracking personal health.
New Google Pixel watches are on display at a launch event for new Google hardware devices in the borough of Brooklyn in New York City, New York, the United States, October 6, 2022. REUTERS/Roselle Chen
Featuring dozens of strap options, the new round-face Pixel Watch in stainless steel and glass allows for contactless payments, music controls, and turn-by-turn instructions. A model with cellular connectivity costs $50 more.
The watches are sold in the United States and several other countries. They won’t pair with iPhones because Apple gives its own watches exclusive access to messaging and other key features users would want, said Sandeep Waraich, Google’s director of product management.
Hardware sales are a growing portion of Google’s sales, with benefits also coming from more opportunities to sell ads and service subscriptions.
Google also said its latest smartphones would go on sale in 17 countries starting October 13. These include a $599 Pixel 7 with a 6.3-inch display, and a glossier $899 7 Pro with a 6.7-inch display, more camera zoom, and extra RAM.
Although Google is a small player in smartphones overall, sales are accelerating. According to tracking company Canalys, 3 million phones were shipped in the first half of this year, up 131% from a year ago.
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Reporting by Paresh Dave; Edited by Peter Henderson and Richard Pullin
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