Alphabet, Google’s parent company, is doubling down on its India strategy by expanding local production of the Pixel 10 smartphones. The company is in advanced discussions with its partners Foxconn and Dixon Technologies, while also considering new suppliers like Micromax-owned Bhagwati Products. This move aims to reduce dependency on Taiwan-based supply chains and offset risks posed by potential U.S. tariffs.
India as a Global Export Hub
Industry analysts suggest India could soon emerge as a major export hub for Google’s flagship devices, with the U.S. expected to be a key market. Much like Apple’s model of exporting India-made iPhones, Alphabet may follow suit to strengthen its distribution and improve cost efficiency.
Over the past year, Alphabet has expanded its Indian presence by appointing 18 official distributors and selling through Reliance Digital, Croma, Sangeetha Mobiles, Poorvika, and more than 2,000 smaller retailers. By manufacturing locally, the company has also avoided 16.5% import duties, helping Pixel phones become more competitive against Apple and Samsung in India’s growing premium smartphone market.
Parallel Push in AI
Beyond hardware, Alphabet is eyeing a bigger role in artificial intelligence infrastructure. Together with Nvidia, Alphabet is reportedly set to invest in U.S.-based Vast Data, a firm valued at up to $30 billion. Vast Data provides high-performance storage solutions for AI data centres, serving clients like Elon Musk’s xAI and CoreWeave.
Alphabet’s investment arm CapitalG is expected to participate in the funding round, highlighting the company’s ambition to stay at the forefront of AI innovation.
Building for the Future
By boosting Pixel 10 production in India and investing in global AI infrastructure, Alphabet is pursuing a two-pronged growth strategy. This not only strengthens its supply chain and competitiveness in the smartphone segment but also positions it as a key player in the rapidly expanding AI ecosystem.