Google Plots New Hardware to Take on Echo — The Information (Apr 5, 2017)
What do you do if you have two separate hardware products for the home which are selling modestly but not fantastically and have some common elements? You combine them, of course, and so Google is apparently considering a future device which would bring the features of its Home and WiFi devices together in a single unit. That would lower the combined cost and depending on the price potentially also increase the attractiveness relative to either the standalone Home or WiFi devices as they exist today. Given that a single unit of either item today costs $129, it’s entirely feasible that Google could combine the two in a new unit that would still be price competitive with the Amazon Echo while offering a lot more functionality, so this is an interesting angle. But Google Home’s main challenges continue to be less about price and more about name recognition and distribution – the Echo captured the early interest in this space and quickly became the market, heavily leveraging Amazon’s retail distribution channel, while Google continues to struggle to get adoption for its version. Though this move may help spur sales, I don’t think it’s going to lead to the kind of step change Google needs to be a more meaningful competitor.
via The Information
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