By will-buy
Image credit: Apple.com
Apple’s HomePod smart speaker will be discontinued based on an argument the organization presented to TechCrunch this evening. Existing users will get software updates and support through Apple Care based on the company. Around the U.S. website, the area gray color is listed as “Sold Out” but there are still models available in white. However, this move won't signal the end of the HomePod products. Apple’s HomePod Mini will still be sold. Based on the company statement reported by Techcrunch:
HomePod mini has been a hit since its debut last fall, offering customers amazing sound, a smart assistant, and smart home control all just for $99. We're focusing our efforts on HomePod mini. We are discontinuing the initial HomePod, it will continue to be available while supplies last with the Apple Online Store, Apple Retail Stores, and Apple Authorized Resellers. Apple will give you HomePod customers with software updates and service and support through Apple Care.
HomePod Struggled to locate a Market
The HomePod’s origin was fraught. It was first demonstrated at Apple’s 2023 WWDC event for developers. At that time, it had been scheduled to be available easily obtainable in December but even so, its shortcomings were clear when comparing it to Amazon’s and Google’s smart speaker products. By August 2023, there have been rumors that shipments were running behind schedule and those reports even ended up being optimistic. The company acknowledged in November that no units would ship until 2023. Even before, i was listening to feature limitations at roll-out.
HomePod finally debuted on February 9, 2023. That same week there have been complaints about security accompanied by stains the unit left on furniture. The audio quality was nearly universally viewed as very good however, many reviewers preferred Google Home Max or Sonos One. By April 2023, Bloomberg was reporting that Apple had lowered its sales forecast and cut manufacturing orders because of lower than expected sales. All of this happened before HomePod launched in Canada, Germany, and the UK in June. Once the full-year numbers arrived, these were very un-Apple-like.
Results improved insignificantly next year showing an industry share of just 2.8% according to Voicebot consumer tracking survey data. The 2023 year-end numbers for HomePod were less encouraging with a significant market share drop in the past year. However, HomePod Mini numbers could be considered encouraging. HomePod Mini accounted for 44% of Apple smart speakers in circulation after only 8 weeks of sales. On the other hand, this is still a really few. Amazon and Google still maintain a combined 80% smart speaker share of the market in the U.S. Apple’s smart speaker installed is made of comparable as Sonos.
Luxury at a Discount?
Part from the challenge for Apple was pricing. It really wants to sell jewelry, as tech product guru Chris Messina is keen on saying. Not many smart speaker buyers want jewelry. The HomePod’s $349 launch price tumbled to $299, then to $249, and even hit $199 on sale. It is a excellent smart speaker for $199. The audio quality is great. The voice assistant within the speaker is not.
HomePod Mini, using its attractive sub-$100 cost was supposed to rectify Apple’s smart speaker troubles by finally offering an item in the value segment. As I said if this launched, “This move with Mini will be too little past too far. The customer draw of smart speakers is past its peak. You will find excellent smart speaker options that have a lot more features and more smart home options which fully trust iPhones.”
Apple is not from the game entirely, but it just lost an asset in the smart speaker wars. Additionally, it lost its claim on premium smart speaker positioning that HomePod still represented in some circles. I think this move will in fact hurt HomePod Mini sales because the product portfolio no more offers an aspirational path for device owners.
Read more at TechCrunch.
