When Apple unveiled the first generation AirPods in 2016, they were greeted with equal amounts of praise, criticism and ridicule. Their distinctive look quickly turned them into the butt of countless jokes, most of them involving people with toothbrushes sticking out of their ears. Three years later, Apple can confidently laugh these jokes off, knowing that the AirPods turned into a huge success that immediately propelled Apple to the top of the then nascent wireless earphone market.Moreover, the AirPods were one of the first products of an entirely new category, namely hearables, that includes earworn devices that do more than delivering stereo sound, e.g. connecting its user to a smart assistant, tracking fitness or translating languages in real time.According to estimates from IDC, Apple dominates this category to this day. In Q2, Apple (including Beats) shipped 15.9 million such devices, leading its closest competitors Samsung (3.3 million) and Xiaomi (2.1 million) by a huge margin. Total shipments in the hearables category amounted to 31.8 million in the second quarter, up from just 9.1 million in Q2 2018.
In a report published today, Counterpoint said the global market size for true wireless hearables had beat expectations, growing 53 percent in the fourth quarter of 2019, compared to the same quarter the year previous.
\"We expect Apple to sell more than 100m true wireless hearables in 2020, including AirPods Pros, to maintain their comfortable lead in the market. The real competition will be for second place, especially in the premium market; Samsung, which sold 8m Galaxy Buds last year, will need further upgrades to those expected in the Galaxy Buds Plus, including noise cancellation and other advanced features and designs, in order to beat its rivals.\"
The introduction of hearables - wireless in-ear listening devices - has offered significant impetus to the market's growth. These devices perform functions of smart wireless headphones, hearing aids, fitness tracker wearables, and speech modulation devices.
Many key leading vendors focus on the European and North American regions. To capitalize on the expected increasing demand from APAC, Latin America, and MEA, key players are expanding their geographical presence by increasing foothold in emerging markets. In 2020, over 200 companies, including key, prominent, and small-scale vendors were engaged in the manufacturing of true wireless headphones.
The global true wireless stereo earbuds market size was valued at USD 35.37 billion in 2021 and is expected to register a compound annual growth rate (CAGR) of 34.9% from 2022 to 2030. The increasing per capita income of consumers in developed and developing countries, along with the improved standard of living is expected to increase demand for smart wearable products among athletes and personal users and is a major factor expected to drive the growth of the market. Besides, continued development in the semiconductor industry has made it possible for OEMs to develop compact feature-loaded products. The push for compact parts is driven by the need for smaller assemblies in specific electronics, such as smart earbuds, and the need to drive down material costs. These factors are anticipated to positively impact the market growth.
The true wireless stereo (TWS) earbuds market experienced a minor setback due to the supply chain disruptions caused by COVID-19. Earlier in 2020, TWS earbud manufacturing in China was hampered; however, by the second quarter, it had fully recovered. However, since a significant number of TWS earbud sales were made online, the pandemic had no impact on consumer demand. During the pandemic, the market growth has been consistent due to the increased demand for TWS earbuds for fitness activities and working remotely.
The true wireless stereo earbuds industry is competitive as market participants are primarily focusing on incorporating unique features into their products to improve the auditory experience. Apple Inc.'s AirPods, for example, have a unique vent design that equalizes pressure within the ear to reduce discomfort, which is common with in-ear models. Since their release in December 2016, the AirPods have enjoyed enormous sales growth. Many premium brands, however, are losing market share to Chinese vendors and local companies that provide differentiated features at affordable rates. Some of the major players operating in the global true wireless stereo earbuds market include:
The report forecasts growth in terms of revenue and volume at global, regional, and country levels and provides an analysis of the latest trends and opportunities in each of the sub-segments from 2018 to 2030. For this study, Grand View Research has segmented the global true wireless stereo earbuds market report based on price band and region:
Apple is expecting to sell more than 100 million AirPods units in 2020, as per a new report by Counterpoint Research. This will further cement Apple's position in the true wireless earbuds market, which it leads with more than 50% market share.
As per Counterpoint Research, the true wireless earbuds market grew more than 50% in Q4 2019, bringing the average sales to above 50 million units per quarter. Apple's market share grew by 44% in Q4 20019, just below the market average, but enough for the company to maintain its lead by a large margin. The second spot was occupied by Xiaomi, followed closely by Samsung and others.
When we go into more detail, it turns out that Apple completely dominates the USD 100 and above market for true wireless earbuds with more around 70% market share. It is the sub-USD 100 market where the competition is fierce and there is no one clear leader in terms of market share.
The hearable segment is seen as the most lucrative market for any tech company. And Apple, under CEO Tim Cook, has emerged as the leader in the truly wireless earbuds segment. According to unconfirmed estimates, Apple may have sold $6 billion worth of AirPods in 2019. Bernstein analyst Toni Sacconaghi estimates Apple could sell as many as 85 million AirPods units in 2020, generating about $15 billion in revenue.
Dublin, April 15, 2021 (GLOBE NEWSWIRE) -- The \"True Wireless Headphones Market - Global Outlook and Forecast 2021-2026\" report has been added to ResearchAndMarkets.com's offering. The global true wireless headphones market by revenue is expected to grow at a CAGR of over 20% during 2020-2026.The market has witnessed a paradigm shift after the launch of Apple's AirPods at the end of 2016. The sale of AirPods was substantially high and encouraged several global manufacturers to launch their own product lines. Music enthusiasts are investing in high-quality earphones and headphones that are compatible with portable devices for high-quality sound and enhanced audio experience.
In 2020, due to the outbreak of the COVID-19 virus, a temporary setback was witnessed in the headphone industry with disruption in component manufacturing and supply management as well as the closure of assembly lines across major and emerging markets. However, the market revived by June/July 2020 due to the rise in demand for headphones.The introduction of hearables - wireless in-ear listening devices - has offered significant impetus to the market's growth. These devices perform functions of smart wireless headphones, hearing aids, fitness tracker wearables, and speech modulation devices.
The North America true wireless headphones market expects to reach approx. USD 6 billion by 2026. The US is the major contributor to the growth of the market. With the increasing use of miniature headphones as fashion accessories, the market has experienced tremendous growth in recent years. The popularity and acceptance of true wireless headphones is high in fitness and sports enthusiasts.
GLOBAL TRUE WIRELESS HEADPHONES MARKET SEGMENTATIONThe entry of electronic PCs and tablets, and TV manufacturers such as Samsung, Sony, and Apple in the market has increased the sale of headphones via retail stores worldwide. However, preference and propensity to purchase true wireless headphones online are making brands the retail space less imperative. In 2020, the online segment accounted for the highest share of the global true wireless headphones market. The traditional retail segment faces strong competition from the online segment. Online stores offer a variety of options to choose from compared to retail stores. Several consumers seek to buy these devices online because of the ease-of-accessibility and convenience afforded by such channels.
Virtually every audio brand at CES had a true wireless design, and in many cases, multiple designs. If AirPods are a de facto standard (Apple accounts for 45% of all true wireless earphones sold, according to Counterpoint Research Hearables), then other vendors are offering every possible variation on that standard, from longer battery life to more compact design to noise cancelation, fighting for every bite of a rapidly expanding market.
Qualcomm is perhaps the most well-known chip vendor of Bluetooth chips, but there are others, which are helping put downward pressure on retail prices. And there will soon be many more now that the true-wireless market has exploded, according to Vincent Nallatamby from Tempow, a French startup that provides firmware to makers of true wireless earphones.
The market research firm has predicted that annual shipments of true wireless stereo (TWS) \"hearables\" in 2020 hit 238 million units, up 83 percent. The incredible growth is indicative of how Apple has managed to mainstream the market for wireless earphones. 1e1e36bf2d