Google Reveals Hardware Division Now Generates Multibillion-Dollar Revenue
Google officially classifies its hardware division as a "multibillion-dollar" business, pulling in over $2 billion annually. The category, which includes Pixel devices and Nest products, is grouped with YouTube subscriptions under a broader $17 billion revenue umbrella.
Google officially classifies its hardware division as a "multibillion-dollar" business, revealing that the category generates at least $2 billion in revenue. This hardware segment, which includes Pixel phones, Nest smart home devices, and routers, sits inside Google's "Other" revenue category alongside subscription services like YouTube Premium. Combined, these sectors bring in $17 billion for the company in 2019.
Despite this financial milestone, the exact breakdown of Google's hardware sales remains a mystery. The company does not separate revenue for specific product lines, making it impossible to know whether Pixel smartphones, Nest thermostats, or other gadgets drive the bulk of the sales. Pixel phone performance is particularly murky, though past hints suggest the budget Pixel 3A significantly boosts unit sales compared to flagship models.
This new financial disclosure marks a shift from just a couple of years ago, when Google kept its hardware revenue entirely secret. While the company still refuses to share specific sales figures or identify its best-selling devices, the "multibillion-dollar" label confirms that Google's push into physical products is now a major part of its overall corporate strategy.