Apple Still Has Underwhelming Share of Smart Speakers

Apple (AAPL) didn’t upgrade its smart speaker HomePod this year. But it did give its smart speaker a big boost on the software side.

With the latest software upgrade, the HomePod will be able to set multiple timers, ping devices through Find My iPhone, and even make and receive phone calls.

According to a report by Consumer Intelligence Research Partners, Apple has a 6% market share as of the second quarter.

Amazon’s (AMZN) and Google’s (GOOG) cheaper smart speakers have become more popular. Amazon’s Echo Dot accounts for ~50% of Amazon’s smart speaker installed base. Google Home Mini represents ~40% of the Google Home installed base.

Both Amazon and Google are outselling the Apple HomePod, given its $349 price tag. Most of Amazon’s and Google’s smart speakers cost in the double digits. In fact, the companies are encouraging users to buy more than one.

While Apple seems to have an underwhelming share of the smart speaker market, it’s not too bad considering its excessive price tag. It will be interesting to see if the technology giant gives it a hardware upgrade in order to reduce its price.