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Can Google Inc (GOOG)’s New Chromebook Steal Sales From Apple Inc. (AAPL)?

Google Inc (NASDAQ:GOOG) just announced the Chromebook Pixel, its latest laptop with a new touchscreen. It’s marching further into Apple Inc. (NASDAQ:AAPL)‘s territory with the new notebook, but the company has a long way to go before converting loyal Apple users, and even further before the new notebook will benefit Google Inc (NASDAQ:GOOG) investors.

A touch of innovation
To lure Apple consumers (and others) from their current laptops, Google Inc (NASDAQ:GOOG) needs to give potential buyers something new and innovative. Apple Inc. (NASDAQ:AAPL) users are a loyal bunch and they don’t switch devices easily. Luckily for Google, the new notebook introduces some new features and options that you won’t find on any Apple laptop.

Google Inc (NASDAQ:GOOG)The Pixel’s most notable feature is its touchscreen. Google Inc (NASDAQ:GOOG) thinks the future of notebooks will incorporate touchscreen technology and it’s jumping on the idea now. Early tests of the touchscreen have been positive, although real-world testing will prove how useful a touchscreen laptop will be.

Google Inc (NASDAQ:GOOG) is also trying to hit Apple Inc. (NASDAQ:AAPL) where it hurts by releasing a screen it says has the “highest pixel density” on the market. Apple loves to talk about its Retina display, but the new Chromebook has a larger screen resolution and more pixels per inch than the comparable 13-inch Retina Macbook. Here’s a full breakdown of their specs:

Feature Chromebook 13-Inch Macbook With Retina Display 13-Inch Macbook Air
Touchscreen Yes No No
Screen 2,560 x 1,700, at 239 PPI 2,560 x 1,600 at 227 PPI 1,440 x 900 high-resolution LED
Processor Intel (NASDAQ:INTC) Core i5 dual-core, 1.8GHz Intel Core i5,
2.5GHz / 2.6GHZ dual-core
Intel Core i5,
1.8GHz dual-core
Storage 32 GB / 64 GB  solid state3 years terabyte Google Drive storage 128 GB / 256 GB 128 GB / 256 GB
solid state
Memory 4 GB 8GB 4GB
Battery 5 hours 7 hours 7 hours
Internet Wi-Fi, LTE Wi-Fi, ethernet Wi-Fi
Price $1,299 / $1,449 $1,499 / $1,699 $1,199 / $1,399

Sources: Google and Apple.

More than a pretty face
Google isn’t just marketing the Pixel as a great touchscreen with a beautiful display, though. It says the device is made for “power users” who live in the cloud– and it’s making sure Pixel owners get the chance to do exactly that. The Pixel comes with a terabyte of Google Drive storage space for three years. The problem Google will face is getting those power users to adopt the idea of storing all their files online instead of on the notebook.

To help with living in the cloud, the Chromebook Pixel comes with a free 100 MB/month Verizon Communications Inc. (NYSE:VZ) Wireless LTE connection for two years. Consumers probably don’t have a hard time finding free Wi-Fi when they need it, but having free Internet (even if it’s a small amount of data) compared to no LTE option in Apple Inc. (NASDAQ:AAPL)’s laptops could be an advantage for Google.

The verdict
Although Google has launched a great product, there is one serious flaw with it — the OS. Chrome OS may be a good part-time OS for surfing the web and using a limited amount of programs, but it doesn’t have access to the same amount (or same quality) of apps and programs as Apple’s OS. Chromebooks were initially created as web-only devices that didn’t handle large processing or graphics tasks, and although the Pixel is more robust than previous Chromebooks, it still can’t compete with Apple’s OS.

That’s not good news for Google investors hoping the company will take more of the notebook market share. It’s also a bit curious that Google would pursue the high-end laptop market when it puts so much time and money into the Android OS and its mobile devices, the obvious future. Research firm NPD predicts that tablet shipments will finally overtake notebook shipments later this year, three years earlier than their initial prediction last year.

If Google opens up its own stores, as I’ve mentioned before that they should, it could help boost sales of the Pixel. But as it stands right now, Google is going to have a very difficult time convincing Mac users to switch over to its OS. With Apple already dominating the retail space, even if Google opened up stores this year, they wouldn’t have the reach Apple Stores already have — or the brand loyalty. With Google behind in the retail game, sporting an inferior OS, and pushing further into an already competitive market, it’s unlikely the company will steal a significant number of sales away from Apple.

The article Can Google’s New Chromebook Steal Sales From Apple? originally appeared on and is written by Chris Neiger.

Fool contributor Chris Neiger has no position in any stocks mentioned. The Motley Fool recommends Apple, Google, and Intel. The Motley Fool owns shares of Apple, Google, and Intel.

Copyright © 1995 – 2013 The Motley Fool, LLC. All rights reserved. The Motley Fool has a disclosure policy.

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