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Google steps up integration of AI into its hardware

devices

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Prices remain flat amid tariff uncertainties

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Google's AI push has not led to market share gains

By Kenrick Cai

Aug 20 (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.

The products were launched at the annual 'Made by Google'

event held in New York, which marked a return to more modest

upgrades of its smartphones, smartwatch, and wireless earbuds

compared to last year's event that industry analysts said was

bigger and bolder than usual.

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.

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.

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 rival Apple's ( AAPL )

iPhones. Google unveiled a series of Pixelsnap

chargers, cases and phone stands to accompany the launch.

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 ( AAPL ), 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 a fraction of the sales of other firms selling

Android-powered phones, such as Samsung and Xiaomi ( XIACF )

.

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.

Amid the generative AI boom, the company shifted the timing

of its hardware event for the first time last year from its

traditional autumn schedule to the summer, giving it a chance to

preempt Apple ( AAPL ) in promoting AI integrations on smartphones.

That 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 announced new versions of its smartwatch, the Pixel

Watch 4, and its cheaper Pixel Buds 2a wireless earbuds, though

it left the Pixel Buds Pro 2 pat besides announcing a new color

and an upcoming software update with device-specific upgrades.

(Reporting by Kenrick Cai; Editing by Muralikumar Anantharaman)