Alphabet (GOOGL) Stock: Google Takes Direct Sales Battle to Apple in India's Smartphone Market

TLDR

Table of Contents

Alphabet launched direct online sales of Pixel phones in India, competing directly with Apple’s established retail presence
Google is planning to open its first physical stores outside the US in India, following Apple’s footprint
Pixel phones are priced lower than iPhones in India, ranging from $360-$1,900 vs Apple’s $520-$2,100 range
Apple currently dominates India’s premium smartphone market with 55% share compared to Google’s 2% share
Alphabet stock closed down 0.31% at $172.36, with analysts projecting 17.79% earnings growth for the full year

Alphabet launched direct online sales of its Pixel smartphones in India through the official Google Store website. The move puts Google in direct competition with Apple’s established retail operations in the world’s most populous country.

Starting today, people in India have yet another way to buy Google Pixel devices – directly from the online Google Store in India 💙
Limited number of units are available as a part of the launch offer, act fast & get yours now!
Check the T&C here 🔗 https://t.co/tVXlUs8OW2. pic.twitter.com/ssreALv5kn
— Google India (@GoogleIndia) May 29, 2025

The company previously sold Pixel devices through authorized retailers and Walmart-backed e-commerce platform Flipkart. Now Indian customers can purchase Pixel phones, watches, and earbuds directly from Google’s online store.

This retail expansion comes ahead of Google’s planned physical store openings in India. The company is reportedly close to finalizing locations for its first brick-and-mortar stores outside the United States.

Apple already operates stores in Mumbai and New Delhi, with plans for additional locations. The iPhone maker has established a strong foothold in India’s premium smartphone segment.

Price Competition Heats Up

Google’s pricing strategy targets cost-conscious Indian consumers. Pixel phones range from approximately $360 for entry-level models to $1,900 for premium versions.

Apple’s iPhone lineup starts higher at around $520 and reaches $2,100 for top-tier models. This price gap could help Google capture market share in price-sensitive segments.

Despite the pricing advantage, Google faces an uphill battle. Industry data from 2024 shows Apple commanding roughly 55% of India’s premium smartphone market.

Google’s Pixel devices hold just 2% of the premium segment. The company needs to overcome this substantial market share deficit.

India’s smartphone market includes about 712 million users currently. The country’s 1.4 billion population and growing middle class represent massive growth potential.

Manufacturing Strategy Mirrors Apple

Google has started manufacturing Pixel smartphones in India. This production move follows Apple’s playbook as both companies diversify supply chains away from China.

Apple has been ramping up iPhone production in India due to tariff concerns and geopolitical tensions. Google appears to be following similar supply chain strategies.

Local manufacturing could help both companies reduce costs and improve supply chain resilience. It also aligns with India’s push for domestic production.

The manufacturing expansion supports Google’s broader commitment to the Indian market. Physical stores and local production show serious long-term investment plans.

Alphabet stock closed Wednesday’s trading session at $172.36, down 0.31% from the previous day. The decline was smaller than the broader S&P 500’s 0.56% loss.

Over the past month, Alphabet shares gained 7.95% while lagging the Computer and Technology sector’s 11.21% advance. Analysts project full-year earnings growth of 17.79% to $9.47 per share.

The company trades at a forward price-to-earnings ratio of 18.26, below the industry average of 19.93. Upcoming earnings results are expected to show quarterly revenue of $78.86 billion, up 10.51% year-over-year.

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