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    1. Home
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    3. >Google spotlights AI over hardware upgrades in unveiling new smartphones
    Finance

    Google Spotlights AI Over Hardware Upgrades in Unveiling New Smartphones

    Published by Global Banking & Finance Review®

    Posted on August 21, 2025

    5 min read

    Last updated: January 22, 2026

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    Tags:innovationtechnologyfinancial servicesArtificial Intelligence

    Quick Summary

    Google's new Pixel smartphones focus on AI innovations, with features like a camera coach and smart assistant, aiming to enhance user experience.

    Google Emphasizes AI Innovations in New Pixel Smartphone Launch

    Google's AI-Driven Smartphone Launch

    By Kenrick Cai

    New Features and Innovations

    (Reuters) -Alphabet’s Google introduced on Wednesday a new lineup of Pixel smartphones and gadgets, intensifying its efforts to embed artificial intelligence across a wide ecosystem of products.

    Market Share and Expansion Plans

    The products were launched at the annual "Made by Google" event held in New York that diverged from its typical format to emphasize mainstream consumer appeal over technical details. Talk show host Jimmy Fallon, the Jonas Brothers and other celebrities featured heavily across the presentation, as they helped demonstrate real-world applications of Google's AI integrations into the hardware. As for the hardware itself, the upgrades were comparatively modest.

    Pricing and Availability

    "There has been a lot of hype about (AI in phones) and frankly a lot of broken promises too, but Gemini is the real deal," said Rick Osterloh, Google's senior vice president of devices and services, referring to Google's AI chatbot and model.

    At its developer conference in June, iPhone maker Apple toned down its AI promises a year after it failed to deliver AI upgrades to key products such as Siri. Apple is expected to unveil its new line of iPhones this autumn.

    While Google's hardware upgrades were modest compared with its bold refresh in 2024, the company maintained its forward progress on its stated ambition to develop a universal AI assistant.

    "We’ve got the best models, we’ve got the best AI assistant, and it means this can just unlock so much helpfulness on your phone," Osterloh said.

    New AI features rolling out with the Pixel 10 lineup include a "coach" in the camera app to help users take better pictures and an assistant that displays relevant information without a user's explicit request, such as showing a flight confirmation email when they call an airline.

    Employees also demoed integrations of AI features earlier unveiled at Google's developer conference in May, such as a real-time language translation function for phone calls.

    The exteriors of the phones remain largely the same, though Google added a telephoto lens on the base model to bring it in line with the cameras on its pricier units.

    Prices, starting at $799 for the base unit and $1,799 for the foldable model, remained flat despite concerns earlier this year that some smartphones could experience drastic price hikes due to U.S. tariffs.

    "A lot of the stuff they showed today would probably run almost exactly the same way on last year's hardware. Their point is it's not about just the hardware anymore," said Bob O'Donnell, chief analyst at Technalysis Research.

    MARKET SHARE WOES

    Google's annual hardware event has traditionally served as a way for the company to show off to device makers and software developers the potential of Android, a key strategic component to battling competition from Apple, which has its own operating system for its iPhones.

    Though Google develops the Android operating system underlying more than 80% of smartphones worldwide, its Pixel line generates only a fraction of the sales of other firms selling Android-powered phones, such as Samsung and Xiaomi.

    Analysts told Reuters this year's event appeared to be an attempt by Google to broaden the appeal of Pixel beyond its traditional base.

    "Last year there was such a jump in the hardware, from a design and feature perspective," said Carolina Milanesi, an analyst at Creative Strategies. "This feels more like a big push from a marketing perspective."

    Google's AI push has not yet translated to a material improvement in market share: for the second quarter, Google held 1.1% of the worldwide smartphone market, up from 0.9% one year ago, according to IDC.

    In the United States, Pixel's biggest market in terms of shipments, the share slid to 4.3% from 4.5% in that same time period, according to IDC.

    Google has so far limited its focus to the high-end market. Nearly three-quarters of Pixel shipments occurred in the United States, Japan and UK, according to research firm IDC.

    On Wednesday, the company announced it would begin selling the Pixel devices in Mexico for the first time. Google's limited geographical presence with Pixel has inhibited its ability to amass market share, analysts told Reuters.

    "I hope this is the start of expanding their channel presence," Milanesi said. "The opportunity of the addressable market they can reach is still what is kind of holding Google back."

    The Pixel 10, as well as the souped-up Pixel 10 Pro and Pixel 10 Pro XL, will be available later this month, while the Pixel 10 Pro Fold is slated to ship in October.

    All the Pixel phones are equipped with Google's latest mobile processor, Tensor G5, and for the first time, feature a magnetic charging technology called Pixelsnap that is reminiscent of the MagSafe functionality on Apple's iPhones. Google unveiled a series of Pixelsnap chargers, cases and phone stands to accompany the launch.

    Google also announced new versions of its smartwatch, the Pixel Watch 4, and its cheaper Pixel Buds 2a wireless earbuds, though it did not update the Pixel Buds Pro 2 besides announcing a new color and upcoming device-specific software upgrades. 

    (Reporting by Kenrick Cai in San Francisco; Editing by Muralikumar Anantharaman and Matthew Lewis)

    Table of Contents

    • Google's AI-Driven Smartphone Launch
    • New Features and Innovations
    • Market Share and Expansion Plans
    • Pricing and Availability

    Key Takeaways

    • •Google emphasizes AI over hardware in new Pixel launch.
    • •New AI features include a camera coach and smart assistant.
    • •Pixel's market share remains low despite AI push.
    • •Event featured celebrities to boost mainstream appeal.
    • •Prices remain stable despite tariff concerns.

    Frequently Asked Questions about Google spotlights AI over hardware upgrades in unveiling new smartphones

    1What is artificial intelligence?

    Artificial intelligence (AI) refers to the simulation of human intelligence in machines programmed to think and learn like humans, enabling them to perform tasks such as speech recognition, decision-making, and problem-solving.

    2
    What is market share?

    Market share is the portion of a market controlled by a particular company or product, expressed as a percentage of total sales in the market. It indicates the competitiveness of a company within its industry.

    3What is a smartphone?

    A smartphone is a mobile phone that combines cellular and mobile computing functions into one device. It typically features a touchscreen interface, internet connectivity, and the ability to run applications.

    4What is a universal AI assistant?

    A universal AI assistant is a software application that uses artificial intelligence to perform tasks or services for an individual based on voice commands or queries, aiming to enhance user convenience.

    5What is pricing strategy?

    Pricing strategy refers to the method companies use to price their products or services. It involves determining the right price based on costs, competition, and customer demand to maximize profitability.

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