Apple has led the true wireless stereo (TWS) headset market for a while now, with both the AirPods and the Pro model sitting at the top of the food chain. As per a market analysis report by Counterpoint Research, Apple will continue to retain its crown as the segment leader in 2021, but the market share is going to shrink on a YoY basis.
The report adds that the global TWS market will reach the 310 million shipment figure in 2021, recording a 33% growth on a yearly scale. Out of that number, Apple is expected to hog a massive 27% share, with estimates pointing towards 84 million units, while the upcoming AirPods 3 are poised to bolster the sales figures after a slump in the past two quarters.
“Most anticipated is a new release from Apple, it’s first in two years. We expect it to be one of the biggest drivers of TWS market growth from Q4 2021 to the next year. Apple will maintain strong market leadership based on its loyal customer base. However, its share will inevitably fall with the intensifying competition,” Liz Lee, Senior Research Analyst at Counterpoint, was quoted as saying.
Apple at the top. Xiaomi and Samsung are still far behind!
Even though Apple’s market share in the TWS segment will shrink by a margin of 4%, the lead over rivals will still be sky-high. Chinese consumer electronics giant Xiaomi is expected to grab a 9% market share, while Samsung sits behind at the third spot with a 7% share. The market share of these two companies was the same in 2020 as well.
While Apple’s market share is way ahead of the competition, profitability and net revenue are other areas where the company leaves the competition far behind. Apple’s AirPods line of audio devices resides in the upper echelons of the pricing tier, where the profit margin is much higher. Xiaomi, on the other hand, is staying close to its mantra of selling products at as low a price as possible, which consequently trims the profits as well.