According to a Counterpoint BoM analysis report, Google spends one-third of the retail cost of the Pixel Watch’s LTE model to manufacture it. For the LTE-capable Pixel Watch, Google charges $399. However, the report reveals it only costs $123 for Google to make the wearable. That’s $276 less than the selling price. Furthermore, the bill of material analysis report breaks down the manufacturing cost part by part.
A fat chuck of the Pixel Watch’s making cost goes to Samsung for supplying the processor and memory contents to Google. The device uses an old Samsung Exynos 9110 dual-core 1.1GHz chipset for fast and smooth performance. Besides the processor, it also gets 2GB RAM, 32GB Kingstone storage, and a MIMXRT595S co-processor from Samsung. For all these pieces of equipment, the big G pays nearly 27% of the Pixel Watch manufacturing cost to Samsung.
Next in the line is the display. The Pixel Watch uses a glass-domed panel that accounts for around 17% of the overall cost. It’s a 1.2-inch display with a 450×450 resolution and custom 3D Corning Glass for protection. Google spends about 15% of its Pixel Watch budget on casing, waterproofing, and thermal treatment. Both connectivity options: LTE and Wi-Fi, account for 10% of the comprehensive cost to create.
The sensors used in the smartwatch that helps you keep a better track of your health contribute nearly 8% of the total cost. Furthermore, the smartwatch’s 294mAh battery and charging components cost only 6% of the manufacturing value. Other parts of the wearable take the rest of the manufacturing budget: 2.8% for vibrator and driver, 3.3% for PMIC and audio, 3.3% for watch bands, and 7.2% for PCB, passives, among other materials. All these parts cost Google $123 to make the Pixel Watch, one-third of the price at which it retails.
