Apple Lagging Behind In Smart-Home Market, Needs Answer To Amazon Echo & The Google Home Device
Tech giant Apple is losing against Amazon and Google's Alphabet on smart-home products. That is despite the latter's advanced HomeKit technology.
Edison Investment Research Analyst Richard Windsor said on Tuesday according to Investors.com. Windsor said in his note that Apple is in the "very distant third" in the smart-home market. Leading the way is Amazon with Echo smart speakers featuring the "Alexa" technology. Google's Alphabet is not far behind with the Google Home Device.
The Cupertino-based company might launch a home speaker device of its own to counter its rivals. Windsor thinks that Apple could enable third parties to embed Siri in their products and create a significant presence in the smart-home market.
Apple has already done a better job of integrating home devices to iOS users. This enables them to communicate with smart-home devices with a single command. Homeowners can now turn off the lights, turn down the heating. Supervision of smart-home devices can be accessed with a single button press. However, despite the company's ingenuity, Amazon and Google's Alphabet is still on top.
Amazon in the other hand has a far indirect approach to Apple's simplified home commands. The company has already developed 10,000 skills that are available to Alexa. The skills include picking up available transport to recommending movies.
This led to the Echo's massive market share on smart-home devices. Moreover, the speaker has already grabbed 88% of the intelligent home speaker market. Alphabet came in with 10% of the market share and Apple with the remaining percentage.
To date, 4.2 million intelligent home speakers were shipped in the 4th quarter of 2017. The number increased the growth of yearly shipments for the smart-home device. Rising up to 600% ever year according to Strategy Analytics.
Part of Amazon success in the smart-home market can be contributed to a near to year head start from rivals Alphabet and Apple. Google's smart home arm launched the Google Home Device November last year.