If you are clued slightly into the happenings of the tech world, then you would be aware that the AirPods from Apple have created quite a stir in the market.
As per a report by Strategy Analytics, in 2019 Apple garnered 71% of the total revenue generated from all the truly wireless headphones in the market. During the company’s recent earnings call, Apple CEO Tim Cook acknowledged that Apple couldn’t cope with the demand and is still sorting supply chain issues.
Apple AirPods Pro continue to be unavailable in the US and many other countries. Even Amazon India will tell you that they don’t know when the AirPods Pro will be back in stock if you want to purchase them from the e-tailer.
So, now that it has been well established the AirPods — especially Pro — are flying off the shelfs across the world, perhaps it’s time to tell you how big the AirPods have become. While Apple doesn’t really give exact number of units AirPods sell or the money it makes from it, the company did reveal that its Wearables — includes Watch and AirPods — chipped in $10 billion last quarter. Analysts estimate that close to $4-5 billion is from AirPods. A few days Twitter also announced its quarterly results and it revealed that its revenue stood at $1.01 billion. Even if we take a conservative estimate — Apple has stopped the practice of disclosing individual sales figures — and out of the $10 billion assume that 60% of revenue came from the Apple Watch and Beats headphones, then also $4 billion from the AirPods is four times than what Twitter made in last quarter.
To bring some perspective to how much money AirPods make for Apple, let’s take a look at revenue of another tech giant’s popular service. Alphabet — Google’s parent company — recently announced its quarterly results and revealed the revenue it earned from YouTube. The amount was close to $4.7 billion. Even by conservative standards, the AirPods revenue wasn’t significantly less than what YouTube earned for Google. And don’t forget that YouTube is one of the most popular apps in the world. Analysts have predicted that Apple will continue to dominate the true wireless headphones category for at the next couple of years. It will be interesting to see how big can the AirPods can actually become for Apple.