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Google’s voluntary buyouts signal a potential shift from hardware to platforms

The news: Google started offering “voluntary exit” buyouts for US-based employees working within its Platforms and Devices business, which includes Android, Pixel, Fitbit, Chrome, and Nest

The buyouts don’t coincide with future product roadmaps or affect Search, AI, or Google Cloud business units, per 9to5Google.

This realignment points to continued austerity measures at the company but also indicates which areas it’s planning to refocus talent and investments on. 

Google’s devices future in question: Google, which is known for shuttering underperforming products and services, consolidated various teams under Platforms and Devices in October. 

The buyouts now could be a result of continued realignment or a sign that Google is reducing focus on consumer-facing hardware and services to focus on its primary profit centers.

  • While not as dominant as Apple or Samsung in the smartphone segment, Google’s Pixel smartphone market share in North America grew from 4.76% in September to 12.9% in October, per StatCounter.
  • But a recent mixed-reality headset collaboration with Samsung and Qualcomm could indicate Google might slowly move to a licensing model instead of hardware production.

Reducing US staff might also mean that the company is looking to outsource certain roles to cut down on costs.

The challenge: North American smartphone and 5G markets are saturating, and on-device AI functionality has not triggered an upgrade supercycle since many AI tools can run on existing devices. 

Our take: Google’s buyouts signal a shift in priorities—the company’s commitment to AI and cloud shows where its innovation and marketing dollars will flow. 

Marketers should align with these trends by focusing on software-driven experiences, AI-powered solutions, and cross-platform integrations rather than hardware-specific campaigns.

This article is part of EMARKETER’s client-only subscription Briefings—daily newsletters authored by industry analysts who are experts in marketing, advertising, media, and tech trends. To help you start 2025 off on the right foot, articles like this one—delivering the latest news and insights—are completely free through January 31, 2025. If you want to learn how to get insights like these delivered to your inbox every day, and get access to our data-driven forecasts, reports, and industry benchmarks, schedule a demo with our sales team.

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