Alphabet Inc. subsidiary Google’s (GOOG) artificial intelligence (AI) assistant is failing to catch on.
A Bloomberg report this morning states that Chinese smartphone manufacturer Huawei, which uses Google’s Android operating system for its phones, is developing its own voice-activated AI assistant. According to the report, Huawei’s AI assistant, which will use local languages in China for communication, is targeted at the Chinese market and is intended to compete with the likes of Apple Inc.’s (AAPL) Siri and Amazon.com, Inc.’s (AMZN) Alexa. This is the second such announcement after Samsung Electronics Co. Ltd (SSNLF), which also uses Google’s mobile operating system in its phones, announced its own digital assistant last year. (See also: Samsung Acquires AI Assistant Built By Siri’s Creator.)
Together, Huawei and Samsung control a sizeable portion of the smartphone market. While Samsung has the largest number of mobile phone shipments, Huawei is ranked third. Huawei has also announced that it will pre-install Alexa, Amazon’s voice assistant, on its Mate 9 phones. (See also: Alexa, Who Won CES This Year?)
Google launched Google Assistant with its Pixel phones last October. The assistant underpins the company’s AI strategy, which consists of installing Google Assistant across multiple brands and smart devices – from smart speakers to wearable tech to mobile phones. The Pixel phone’s recent “Actions by Google” feature enables users to control third-party applications, such as Netflix, Inc.’s (NFLX) movie streaming app, through voice commands. (See also: Google Sold 1 Million Pixel Phones Last Quarter.)
There are several reasons why smartphone manufacturers are wary of installing Google’s AI assistant on their phones. Some of them are regulatory. For example, Google is not allowed to operate its services in China. Thus, smartphone manufacturers are concerned that installing Google Assistant would result in an incomplete user experience for Chinese users.
Other issues are related to control of the Android ecosystem. Unlike Amazon, Google has refused to release its assistant as a standalone app that can be pre-installed. According to reports, the AI assistant could enable the company to exert greater control over the Android ecosystem. Currently, the operating system has branched out in multiple directions because smartphone manufacturers have customized it to suit their ends and the vision for their phones. (See also: Can Google Assistant Become the Company’s Next Search Engine?)
