With the idea of Pixel 9-Smartphones Google has not only launched into the next generation, but also into the next selling price dimension. A new report now tells us, at least in part, whether Google really made a profit from the new smartphones or whether the price increases were justified. Because hobbyists have found out how much Google spends on the installed components.
The Pixel 9 Pro is sold by Google in the USA for an RRP of $999; in this country you cannot get a Pixel 9 Pro for less than 1049 euros (RRP). How much of this money actually ends up in Google’s money storage cannot be said due to a lack of official insight – but at least there is now a trend. Because Japanese analysts have now found out how much Google has to spend on the installed components. It’s a total of 406 dollars.
Don’t be surprised by the look, the infographic was in Japanese and translated into German by me. These costs consist of $80 for the Tensor chip, $75 for the Samsung display, $61 for the camera components and many other smaller items that are not listed individually. It is not surprising that the Tensor is the most expensive component and is no different for other smartphones with alternative SoCs.
So Google makes $593 on each Pixel 9 Pro? No, of course not. Because the above costs are only the purchase price for the components. But these still need to be assembled. The finished device needs to be packed up. Then the smartphone has to be shipped. Retailers also want to earn something. Additional costs such as marketing should not be forgotten either. In addition, there are years of follow-up costs for software updates, support and warranty cases. And then we still haven’t spent a cent on research and development. We therefore don’t know how high the margin actually is.
Compared to the less equipped Pixel 8 Pro, Google’s costs are said to have fallen by 11 percent. Not completely comparable, but still worth considering in terms of Google’s efficiency improvement program.
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Last updated on 2024-11-06 / Images from the Amazon Product Advertising API / Affiliate links, thank you for your support!