I don't think Google is trying to compete with Apple.. Only media hype and press tried to put in Pixel vs iPhone, Pixel is killing iPhone remarks.
That aside, I think Google is on the right path. To bring the best out of Android, Google has to build her own phone. The last two years experiments with N6, then 5X and 6P showed Google's commitment. Furthermore, Android has matured a lot, up to the point that, at times, we found little incentives to root the vanilla phone anymore.
Having said those, I agree with 90% of fellows here.. This phone is expensive. I found that Apple's iPhones have been massively overpriced, and the value delivered do not justify the price. I will think the same with Google Pixel. Too expensive just for a phone..
But I disagree with those who commented that, "so expensive, might as well buy iPhone".. Well, I don't think iPhone is better than Pixel. Not with its in-flexibility, and no-fast charging, too much restriction with its iTunes, cannot do this and that thingy.. No..
Those who think that iPhone worth $1500, then you should get Pixel.. Too bad, I am one who will never use iPhone, simply because it does not worth that amount of money..