Pixels go 5G
Google last week announced its new Pixel smartphone lineup, the Pixel 5 5G and Pixel 4A 5G. As the model naming conventions suggest, both phones are powered with a 5G chipset, the Qualcomm Snapdragon 765G. Unlike in the previous Pixel series where there was a clear distinction between the premium and the budget versions, the new Pixel 5 5G and Pixel 4a 5G are nearly identical when it comes to form factor and specifications. Both models boast a 6-inch display that got rid off the humangous bezel featured on the predecessor models (in favor of a punch-hole selfie camera design that boasts a 8MP lens). They both house an ultrawide angle camera (with 16 MP resolution), a secondary lens (with 12.2 MP resolution) and 128GB of storage. What sets the devices apart is the faster screen refresh rate (90 Mhz), larger battery and memory, and the wireless charging feature available on the premium Pixel 5 5G. These additional features, on the other hand, come at a price as it carries a $699 price tag compared to the $499 Pixel 4a 5G. Notably, the Pixel 4a 5G will be offered in two variants; a standard sub-6 5G version and a mmWave version (dubbed the 4a 5G UW) exclusive for Verizon. Like several other Verizon-exclusive mmWave phones, the 4a 5G will be sold with a premium ($599) over the sub-6 5G version. Both phones are now available for preorder with the shipments beginning October 15th across multiple carriers.
The NPD Take:
- The new Pixel 5’s $699 price tag is in line with its hardware specifications, which can be considered upper mid-tier segment specs at best. The differentiator features (over the budget 4a 5G) such as wireless charging or 90 Mhz are, frankly, table stake features are found on many premium phones that debuted almost a year ago, while software-innovations such as the “Hold for Me” or “Night Sight” features will have marginal impact in swaying customers brand choices.
- U.S. carriers, especially Verizon, have given Google considerable marketing support with the hope of having a premium category contender that can take on Apple and Samsung, but Google has yet to make a dent in the big two’s market shares. The new Pixel lineup’s specs and pricing position Google for a fight in the mid-tier segment, which is as fierce as the war it fought in the premium space.
AT&T joins the Mix&Match party
AT&T last week announced a new rate plan program dubbed the “Unlimited Your Way”, which allows customers with multi-lines select individual rate plans for each individual line on the account. AT&T offers a selection of three tiers of Unlimited data plans – Unlimited Elite, Unlimited Extra and Unlimited Starter – based on price. In the old scheme, a family of four had to select one of the three tiers and every single line on the account would have had access to that plan regardless of their needs and usage behaviors. For instance, the top tier Elite plan comes with a 30 GB of mobile hotspot and 100 GB premium data (no throttling / deprioritization), and if one user absolutely needed these features, all lines would have had to pay for access to these features. The new format will allow each user to select a plan tier based on his/her needs.
The NPD Take:
- AT&T’s new “Unlimited Your Way” plan scheme mimmicks the Mix&Match plans being offered by rival Verizon Wireless since the summer of 2018. According to the NPD Connected Intelligence Mobility Survey conducted in August 2020, 54% of smartphone owners show interest in these flexible plan options for multi-line accounts. Notably, AT&T customers over-indexed and ranked at the top of the list with a 59% interest in such plans. With both Verizon and AT&T now offering flexible rate options for multi-line accounts, it will not be surprising to see T-Mobile following suit in the near future.
Metro sweetens the 5G deals
Prepaid carriers have been behind the curve with their 5G push but T-Mobile’s Metro prepaid arm looks to challenge that status quo with a new 5G plan offering. Metro customers can now get two lines of unlimited data for $70/month (with Auto-Pay); this includes access to Metro’s Nationwide 5G network, 100GB of Google cloud storage, and 5GB of mobile hotspot data. The in-store only plan is available to new and existing customers, but the latter are also required to add at least one new line of service. To help push the envelope a bit further, Metro sweetens the deal for switchers by offering the Samsung Galaxy A51 5G for just $99.99 after instant savings and a $100 mail-in rebate they can submit after three months of service.
The NPD Take:
- Metro by T-Mobile’s new 5G rate plan promotion is quite aggressive considering the 35 GB high-speed data and 5GB mobile hotspot data inclusions. Offering 5G access as a standard feature alongside the aggressive device promotions such as the $99 (after rebate) price tag on the Samsung Galaxy A51 5G will help the carrier boost its 5G user base during the holiday season.