The global personal smart audio device market showed positive signs of rebound in the first quarter of 2024, with overall shipments growing by 6% year-on-year to more than 90 million units, according to a new study by market research firm Canalys. This growth was mainly due to the strong market performance of true wireless Bluetooth headphones (TWS) and wireless headphones, which achieved 8% and 12% year-on-year growth in shipments, respectively.
Figure 1: Global shipments of personal smart audio devices exceeded 90 million units in Q1 2024
Xiaomi and Huawei's market breakthrough
Xiaomi has managed to overtake Samsung to become the world's second largest manufacturer of TWS headphones by aggressively entering the low-end and mid-range markets with products priced as low as $15. It achieved a remarkable 61% growth in market share, a strategy that not only expanded its user base but also reflected Xiaomi's strong competitiveness in price-sensitive markets.
Huawei also achieved 71% market share growth by launching its first TWS headphones priced below $30 in overseas markets. This initiative demonstrated Huawei's ability to adapt and respond quickly to emerging market demand in the global audio device market.
Figure 2: 2024Q1 Global TWS Vendor Ranking, Xiaomi Second, Huawei Fourth
Open design and the growth of wireless headphones
Canalys data also shows that the open-design TWS market has realized double-digit quarterly growth, attracting the active layout of many vendors. This trend demonstrates a growing consumer demand for a more natural and comfortable listening experience, which open designs fulfill.
At the same time, wireless headphones have become a new driving force for manufacturers seeking growth. Sony led the market through significant growth in flagship and entry-level products, with a 17% increase in market share. Samsung and Apple also maintained their position as head brands by partnering with brands such as JBL and Beats to enhance market exposure and consumer interaction.
Market Outlook and Challenges
Although the market is showing signs of recovery, the personal smart audio device industry still faces many challenges. As the market matures, vendors need to continue to innovate and offer competitive new products to attract consumers. At the same time, vendors need to be concerned about the stability of the global supply chain, fluctuations in raw material costs, and uncertainty in the international trade environment.
In summary, Xiaomi and Huawei's surge in market share in Q1 2024 not only reflects their strong competitiveness in the personal smart audio device market, but also signals the further evolution of the industry's competitive landscape. With the continuous advancement in technology and diversification of consumer demands, the market is expected to remain active in the future, providing new growth opportunities for vendors. At the same time, vendors need to pay close attention to market dynamics and flexibly adjust their strategies to cope with the changing market environment.
