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Google Unveils AI Smartphones with New Features to Beat Competition

Alphabet’s Google has unveiled its latest lineup of Pixel smartphones, showcasing deeper integrations of its artificial intelligence (AI) technology as the company accelerates its push to embed AI into consumer hardware.

The event, held at Alphabet’s Bay View campus in Mountain View, California, deviates from Google’s tradition of announcing new Pixel versions in the fall. This earlier timing marks Google’s strategic move to stay competitive with rivals like Apple, which is expected to launch a new iPhone in September.

In June, Apple revealed that its upcoming devices, including the latest iPhone models, would feature “Apple Intelligence,” a suite of generative AI-powered enhancements and integration with ChatGPT, the chatbot developed by Microsoft-backed OpenAI.

“We’ve seen a lot of AI announcements in a short burst of time lately. I don’t think you want to sit on it too long if you’re Google,” said Linn Huang, an analyst at IDC.

Among the new AI features announced by Google is a Pixel-exclusive function that allows users to search for information stored in screenshots. Android users can also access Gemini, Google’s chatbot, as an overlay on top of other apps to answer questions or generate content.

“There have been so many promises, so many coming soon, and not enough real-world helpfulness when it comes to AI, which is why today we’re getting real,” said Rick Osterloh, Google’s senior vice president of devices and services. “We’re fully in the Gemini era.”

During the event, Google employees demonstrated several live demos of Gemini’s new capabilities, including a voice conversation feature. However, an attempt to use Gemini to cross-reference a picture of a concert poster with the calendar app required three tries and two devices to function properly.

The Pixel 9, featuring a 6.3-inch display, will start at $799, a $100 increase from the previous model. This model, along with the 6.8-inch Pixel 9 Pro XL, will begin shipping later in August, according to a company spokesperson.

The Pixel 9 Pro, which includes enhanced features like an upgraded camera, and the foldable Pixel 9 Pro Fold are set shipment in September. The new devices are now available for preorder.

Google currently holds less than 1% of the global smartphone market share as of the second quarter of 2024, according to IDC, trailing significantly behind Samsung’s 18.9% and Apple’s 15.8%. Google’s smaller market presence is partly due to its limited market entries and focus on higher-end price segments.

However, in the United States, Google ranks as the fourth-largest smartphone maker with a 4.5% market share.

Despite its smaller market share, the Pixel line has enabled Google to showcase its technological advances and encourage development within its Android operating system, used by manufacturers like Samsung. Android is one of the key battlegrounds where Google is competing to integrate AI in ways that will attract consumers.

In addition to the smartphones, Google introduced new versions of its smartwatch, the Pixel Watch 3, and the Pixel Buds Pro 2 wireless earbuds.

The company also added a “Loss of Pulse” feature to the Pixel Watch, which uses algorithms to detect if a user’s heart has stopped and can contact emergency services. This feature will be available in the United Kingdom and the European Union.

On the same day, Google and Peloton (PTON.O) announced a content partnership that will allow subscribers to Google’s Fitbit Premium service to access Peloton’s library of training classes.

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