Apple's smart speaker, the HomePod, was once expected to be a big hit during the holiday season, but now it seems like it might only be a surprise in the Easter basket. Following the delayed release of the iPhone X, Apple’s HomePod—launched in June—has also faced a "jumping ticket" situation, meaning it's been postponed.
In a statement released on Friday, Apple confirmed that the HomePod would take some time before reaching consumers and that it would be available first in the U.S., U.K., and Australia in early 2018. The original plan was for the HomePod to be available for the Christmas shopping season this December, but Apple hasn't provided specific details or reasons for the delay.
Priced at $349, the HomePod is significantly more expensive than Amazon’s Echo Show, which costs $230, and Google Home, which starts at just $49. Despite its high price, the HomePod comes with Siri, Apple’s voice assistant. However, prior to the launch, Apple seemed hesitant about the smart speaker market. Apple’s marketing vice president, Phil Schiller, once said, “People may not want to speak to a machine that doesn’t want to talk,†and he even mocked Amazon’s Echo for lacking a screen and being hard to adopt.
Still, Apple decided to enter the smart home market to find new growth opportunities. With its HomeKit platform and a range of hardware, Apple is trying to build an ecosystem around smart home devices. But as a late entrant, it faces tough competition from established players like Amazon and Google.
Currently, Amazon dominates the smart speaker market, holding over 70% of the share, while Google has 24%. With global smart speaker users expected to reach 35.6 million this year, the competition is fierce. Amazon’s Echo, now in its fourth generation, sold 11 million units last year alone.
According to analyst Ishan Dutt from Canalys, Apple may be trying to catch up in the smart home space, but AI and voice assistants aren’t their top priority. In contrast, Amazon and Google are more committed to the market.
While Apple may lag in AI development, it has a strong advantage in music. With services like Apple Music and acquisitions such as Beats, it can create a powerful music ecosystem. However, it still faces challenges from traditional brands like Sonos, which integrates Alexa and offers a wide range of voice-controlled features.
In China, Apple is also facing strong competition from local smart speaker brands like Tichome, developed by former Google engineer Li Zhifei. Tichome is seen as a Chinese alternative to Amazon Echo, with claims of better voice interaction and personalization.
The delay in HomePod’s release gives competitors more time to solidify their positions. This reflects Apple’s aggressive approach, similar to what happened with the iPhone X, where production delays caused customer frustration. Despite the challenges, Apple remains confident, with forecasts predicting up to 30 million iPhone X units sold in the upcoming quarter.
Overall, Apple is navigating a complex and competitive landscape, balancing innovation with market expectations. Whether the HomePod can carve out a significant niche remains to be seen.
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