Google's Pixel 11 Prices Spike $100 Amid Memory Cost Fears

Google has increased the prices of its new Pixel 11 smartphone range by $100. The base model, the Pixel 11, now starts at $899, while the Pixel 11 Pro and Pro XL start at $1,099 and $1,299 respectively.

This price hike is attributed to rising memory costs, which are affecting consumer electronics more directly. Google had previously warned that surging memory prices would push device costs due to AI data centers battling for semiconductor capacity.

The new Pixel 11 phones come with additional storage, starting at 256GB, which helps mitigate some of the price rise. The devices also feature a new Tensor G6 CPU and Gemini Nano, allowing for on-device AI tasks to be performed 3.5 times quicker while consuming less power.

Investors are now questioning whether this increased cost is becoming a broader consumer problem. If memory prices remain elevated, Google may not be the last smartphone vendor forced to choose between higher prices and reduced margins.