Google Chrome for iOS crashes on a regular basis. It also fails to start YouTube videos a lot. Again, I consider those major products with major failures.
Gchat-in-Gmail has issues on a regular basis.
Also, non-major Google products have plenty of bugs. Google Groups digest emails have been broken forever. Once in a while one randomly trickles into my inbox, and I think for a second it may be fixed. Nope, still borked. Despite quite a bit of effort, I've never managed to communicate with any actual human Googler about it.
I've often had to authenticate twice, for unknown reasons, while getting into Gmail from Chrome, when trying to get in via their Gmail app icon.
I like plenty of Google products and services, and use them daily, but they seem to have their fair share of bugs.
The switching costs are also much higher with hardware than software. You don't want to pay for a phone and find out it's half-baked, while if a 'free' web service doesn't work, it's easy to switch.
It's also about branding and culture, people expect different things from each company. That has pros and cons.