Given the fact that pre-orders for Pixel exceed expectations, and the number of activations operator Verizon proved promising, Google can sell this year, 3 million of these smart phones and get $ 2 billion in revenue. Such an assessment voiced by analyst firm Morgan Stanley.
Although Pixel – a good start for Google in issuing its own smartphones, Apple revenue from iPhone sales for the III quarter of the previous one of $ 28 billion (the company sold 45.5 million units). According to analysts, the profitability of Google smartphones approximately twice lower than that of the iPhone. The most expensive Pixel the XL 128 GB different return on sales of 25%, and most affordable Pixel 32 GB – 22%
Thus for 2017 the same Morgan Stanley predicts that Google will be able to sell 5-6 million smartphones Pixel Pixel and the XL, while receiving $ 3.8 billion in direct revenue. Google also will receive an indirect profit from Pixel sales through the use of services like the Android Pay, Google Play, and mobile search.
At the same time analyst firm Counterpoint Research reports that in October Pixel managed to occupy 10% of the market of high-end phones in India (with a price of $ 440 and above). To do this, Google had to sell only 33 thousand of its smartphones. The popularity of the new Google devices can partly be explained by not only active advertising campaign, but also a disaster with Samsung Note 7, which is why the share of the Korean giant in this market dropped to 23%, while Apple strengthened its leadership, taking 66%.