AlphabetGoogle’s GOOGL is leaving no stone unturned to improve its Chromebook offering thanks to the advanced features of ChromeOS.
Namely, the company is set to introduce a “Privacy Control” feature to ChromeOS, allowing users discretion while allowing access to their geolocation via Android apps, web browsers, and system services.
The privacy feature will also enable app-level permissions for cameras and microphones for web and Android apps.
In addition, ChromeOS will offer secure local data recovery for business users, requiring users to access their account and device to recover lost passwords, with immediate intrusion detection.
Alphabet is expected to gain solid popularity among Chromebook users thanks to the latest move.
Alphabet Inc. Price and consensus
Alphabet Inc price consensus chart. | Alphabet Inc. Quote
Growing Chromebook efforts
Along with the latest privacy feature, Google is all set to launch an ‘App Mall’ to help users discover their favorite apps or games on their Chromebook or ChromeOS tablet. The App Mall will allow users to find and install new Android apps from the Google Play Store and games through Steam and Linux development environments such as Android Studio.
Furthermore, the company is set to improve the quality of life features of ChromeOS, including launcher updates, profile picture hiding, a new settings icon, Diagnostics app tabs, and app installation from the Play Store, similar to Android and iOS.
Strengthening Chromebook offerings is likely to help Alphabet capitalize on growth opportunities in the notebook and tablet markets. The global laptop market is expected to witness a CAGR of 4.7% between 2024 and 2032, according to an EMR report.
The MMR report indicates that the global tablet market will reach USD 53.78 billion by 2029, exhibiting a CAGR of 3.4% during the forecast period 2023-2029.
Moreover, these Chromebook improvements will in turn help Alphabet strengthen its Google Services segment, which has been a key driver of the company’s growth. Its shares rose 45.9% last year, compared with the Zacks Computer & Technology sector’s 44.6% gain.
The strengthening of Google’s services segment is expected to help its overall financial performance in the near future.
The Zacks Consensus Estimate for 2024 total revenue is $290.4 billion, indicating year-over-year growth of 13.2%.
Intensification of competition
Alphabet’s growing updates to Chromebooks are expected to strengthen its competitive edge over rivals like Apple AAPL and Microsoft MSFT, who are also making a concerted effort to improve their range of laptops and notebooks.
Apple’s macOS Sonoma update for compatible Macs remains noteworthy. This free software update has several improvements over its predecessor, Venture, bringing new features such as desktop widgets, screensavers, video conferencing, Safari and optimized gaming, enhancing the Mac experience.
The company recently introduced the new MacBook Air with the M3 chip, which offers up to 60% faster performance than the M1 model and 13x faster than the fastest Intel-based model. The 13- and 15-inch models feature a thin, lightweight design, 18-hour battery life, Liquid Retina display and support for up to two external displays, and 2x faster Wi-Fi.
Meanwhile, Microsoft unveiled the Surface Pro 10 for Business and Surface Laptop 6 for Business, both with improved specs and generative AI features. These devices offer enhanced natural language processing for business users.
Zacks Rank and a stock to consider
Currently, Alphabet has a Zacks Rank #3 (Hold).
The better-ranked stock in the broader technology sector is Badger meter BMI, currently has a Zacks Rank #2 (Buy). You can see complete list of today’s Zacks #1 (Strong Buy) stocks here.
Badger Meter shares have gained 35.5% in the past year. The long-term earnings growth rate for BMI is 12.27%.
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