Wednesday, January 25, 2017

Google can't keep up with demand for its new Pixel phones

Wave7 Research released some estimates just a few days ago (via FierceWireless), after conducting surveys at roughly 50 carrier retail stores. The researcher's data shows that the Pixel represented nearly 10% of all smartphone sales at Verizon in December. That's up from the 8% that the Pixel grabbed in November that Wave7 estimated in a separate report.

While Verizon remains the exclusive carrier partner that is authorized to sell and distribute the Pixel, it's still faring well at other carriers in terms of activations. Customers have to buy the device somewhere else, but can bring the device to other networks. We already know that T-Mobile is setting up Pixel displays at its retail locations, even if the Un-carrier isn't able to sell the device until Verizon's exclusivity runs its course.

As far as problems go, it could be worse

The Verge also notes that according to third-party online inventory trackers, some models have been out of stock at Google's online store since Nov. 30, which was nearly two months ago. The shortages appear to be concentrated on both the larger XL models, as well as those with 128 GB of storage -- that is, the most expensive variants. A Google spokesperson told The Verge:

We're aware about the inventory issues on the Google Store and Verizon. Honestly, demand has exceeded our expectations. We're doing our best to restock on an ongoing basis.

Of course, in the grand scheme of problems to have, demand vastly outstripping supply is as good as it gets. But it is a problem though, especially since most Android users aren't especially loyal to specific brands. The big risk is that a prospective Pixel buyer is unwilling to endure the wait and simply goes with another flagship Android device, of which there are many solid contenders. 

The shortages are a bit peculiar since Google tapped HTC to effectively serve as a contract manufacturer. While HTC has fallen far in the global smartphone market in terms of unit volumes and prominence, the Taiwanese company still has considerable experience shipping high volumes of handsets. Both Google and HTC likely underestimated demand and may need to shift production capacity away from other devices and make more Pixels.

Read the original article on The Motley Fool. Copyright 2017. Follow The Motley Fool on Twitter.

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    Source: Google can't keep up with demand for its new Pixel phones

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