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Pixel will generate 4,000 million dollars in revenue for Google next year

Pixel

Morgan Stanley has estimated that the new Google smartphone will generate 3,800 million in revenue for the company in 2017. The estimate is based on the expectation given the number of phones Pixel which will sell the great G: 5 to 6 million units.

The Bank has declared that Google will sell 3 million units of the Pixel in the last three months of 2016, which will generate about estimated revenue of 2,000 million dollars for the company famous for its search engine and for being the owner of the OS for most installed devices on the planet.

If looking for some comparison, Apple sold 212 million iPhones in the financial year of 2017, prompting 137.000 million dollars in revenue. In the last quarter of 2016, Apple sold 45.5 million of iPhones, which generated 28,000 million in revenue.

Pixel estimaciones

Morgan Stanley has indicated that it is estimated that Pixel will be half of profitable for Google which is the iPhone for Apple, thanks to the increased cost of materials for the first. Pixel will generate a margin of profits between 22 and 25 per cent, while the iPhone 7 reaches 41%.

But Google will benefit more than the sales of the same pixel through to what Morgan Stanley analysts refer to as “monetization of user Android”. Will be spent three times more money in the purchase of apps on iOS which are made on Android, but some of the characteristics of the Pixel will help save the distances, according to analysts of this bank.

Some unique characteristics of the Pixel, as Google Assistant, camera Pixel and Daydream (the virtual reality of the ends), more the deeper integration of apps on the smartphone, with the prominence that is Android Pay, will lead users to spend more money on Android.

These same analysts predict that these characteristics could lead to the Pixel to a greater monetization in the mobile search for Google, already to the advertisers to invest more money to get consumers to spend more on their smartphones and tablets.

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