- Google reportedly shipped 2.4 million smart speakers in Q1 2018, a 709 percent year-over-year.
- Amazon also saw an increased number of shipments, but the increase was not as dramatic.
- Just as notable were the newcomers that nipped away at Amazon and Google’s duopoly.
Amazon might be the veteran in the smart speaker market, but Google continues to nip its heels as the search giant saw record shipments between January and March, according to research firm Strategy Analytics.
Back in Q1 2017, Google shipped 700,000 of its Home smart speaker. That compares to Q1 2018, when Google shipped a record 2.4 million smart speakers. That is a 709 percent increase year-over-year and helped the company capture 26.5 percent of the market.
Keep in mind that, from January through March of 2017, the only smart speaker that Google sold was the $129 Home. Since then, Google announced the much smaller and cheaper Home Mini and larger Home Max, giving the company a larger and more flexible presence in the smart speaker market.
Not to be outdone, Amazon also saw year-over-year growth. Whereas the company shipped two million smart speakers in Q1 2017, it shipped four million smart speakers in Q1 2018, a 102 percent increase.
Even though that increase helped Amazon maintain its position as the market leader, its market share actually dropped year-over-year. That is thanks to newcomers like Alibaba and Xiaomi, which shipped 700,000 and 200,000 units in Q1 2018, respectively.
Meanwhile, Apple also made its debut with 600,000 shipments of its HomePod, while the “Others” category saw an increase from 100,000 shipments in Q1 2017 to 1.3 million shipments in Q1 2018.
Because of all these newcomers and Google’s dramatic growth, Amazon’s smart speaker market share actually dropped from 81.8 percent in Q1 2017 to 43.6 percent. This led to Amazon and Google’s combined market share to drop to 70 percent, down from 84 percent in Q4 2017 and 94 percent in Q1 percent.
Google continues to be Amazon’s biggest competitor, but both companies would be wise to pay attention to the newcomers. Alibaba and Xiaomi’s reach in the smart speaker market will only grow over time, while Apple’s brand recognition should not be underestimated.