Kuo, as per a number of on-line reviews, in his newest analysis observe has mentioned that shipments of AirPods in 2021 will probably be minimize down by 30-35%. “We cut our forecast of 2021 AirPods shipments by 30–35% to 75–80 million units, which implies the 10–15% YoY decline,” Kuo wrote. Interestingly most analysts, together with Kuo had estimated that Apple wold have shipped 110-120 million models of AirPods in 2021.
Kuo has attributed the estimated decline in AirPods shipments because of it being “difficult to differentiate the hardware selling points from competitors’ low-price products.” He additional famous that gross sales outcomes “show that consumers are not very willing to spend more than $100 to buy the selling points of AirPods Pro,”
The rise and rise of AirPods
The AirPods had been launched in December 2016 and since then have been topping the gross sales charts. As per on-line reviews, Apple in 2017 bought about 16 million models of AirPods. In 2018, the quantity of shipments elevated to 35 million models and jumped to 60 million in 2019. In 2020, in response to Kuo, Apple shipped about 90 million models of AirPods — making them the hottest true wi-fi earbuds in the world. It’s this quantity that is estimated to go down by 30%. That quantity is large however even then Apple is estimated to promote about 75-80 million models.
Such has been the development trajectory of the AirPods that the decline appears actually large however nonetheless they are going to proceed to be income drivers for Apple. Sometime final yr, a tech author had mentioned that, if Apple AirPods was a standalone enterprise (based 2016, $12 billion income, 125% development, 30–50% margin), it might most likely be the most precious startup in the world.
What subsequent for Apple AirPods?
People will proceed to purchase them in tens of millions however cheaper options may hit Apple’s numbers tougher than it was estimated. Apple is anticipated to dominate the true wi-fi house but it surely’s simply that different manufacturers will proceed to chip at its development by providing far cheaper possibility.
Rumours have been rife about Apple launching AirPods 3 someday later this month. However, Kuo, who has been correct many occasions in the previous, has predicted that Apple is not going to launch AirPods 3 this month however in the third quarter of 2021. The AirPods 3 are rumoured to have the AirPods Pro design however may not include lively noise cancellation characteristic.
Kuo additionally maintains that Apple must “redefine” shopper behaviour if Apple needs to proceed to hit the superb heights of AirPods in the previous couple of years. The breakthrough, as per Kuo, could possibly be integrating well being administration options in the AirPods.
“We believe that if AirPods shipments want to grow again in the future, they need to have a strong ecosystem or redefine TWS users’ behavior through hardware innovation (such as providing health management functions),” famous Kuo.