Apple is reportedly gearing up to launch a cheaper variant of its not-so-famous Apple HomePod. The Cupertino-based giant is planning a cheaper version of its smart speaker, which will compete with the likes of Google Home and Amazon Echo.
According to a report, citing some anonymous source, Apple is in talks with MediaTek to launch a cheaper variant of its smart speaker. The source further highlights that the upcoming speaker will be not linked with Apple’s name, instead, it will be launched under Beats branding. The report further highlights that the device could cost around $199, which will be definitely cheaper than the current HomePod model that retails for $349.
Apple is struggling with the HomePod smart speakers as it did not garner much attention as compared to its competition. A recent report from Strategy Analytics revealed that Apple’s smart speaker accounted for only 6 percent market share, whereas Amazon Echo was the leader with 81.8 percent market share. This shows that Apple has a long way to go in this segment. One of the primary reason for the failure of the Apple HomePod is the price tag.
On one hand, its competition like Google Home and Amazon Echo are offering smart speakers at almost half of the price of what Apple is charging. Google and Amazon also rolled out cheaper smart speakers with Home Mini and Echo Dot that helped in garnering more attention. For Apple, a cheaper variant of the HomePod is a must, if it wants to remain in the smart speaker race.