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Google's new phone isn't really a threat to Apple's iPhone - yet

Oct 7, 2016, 21:51 IST

Getty Images/Andrew Burton

Google launched a pair of phones earlier this week that were positioned as alternatives to Apple's iPhone, which is the most profitable smartphone in the market thanks to its dominance over the high-end.

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Apple shouldn't be too worried that the Pixel, which retails for $649, will immediately cut into its market share, though.

An early supply chain-based estimate from Digitimes, a Taiwanese trade publication, suggests that Google's Pixel could ship between 3-4 million phones in the second half of 2016.

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By comparison, Apple sold 232 million iPhones during 2015, and is on pace to do about the same amount sales in 2016. Apple ships over 4 million iPhones per week.

Of course, nobody expected Google's Pixel to reach the scale of Apple's iPhone instantly. Apple has spent nearly a decade building its supply chain, retail operation, and brand so that it could sell that many phones.

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It's just a reminder that Apple has quite the head start on Google in the hardware business.

NOW WATCH: Google just unveiled the Pixel - its first smartphone

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