Google, Amazon Losing Money Over Discounted Smart Speakers

X

After Google and Amazon discounted their prices for their respective smart speakers analysts have said both companies would have lost a couple of dollars per unit.

Reuters reports analysts at ABI Research says the Echo Dot has US$31 worth of parts and it was selling for US$30, the discounted price. The Google Home Mini has US$26 worth of components with it priced at $29 at a discount.

Prices for the Google Home dropped in Australia mid-December from $199 to $128. Rumours have been circulating Amazon Alexa will be launching in Australia this year.

Reuters spoke to Adam Wright, senior research analyst at IDC saying he estimates 35 million smart speakers have been installed worldwide, a figure updated two weeks ago which does not include Christmas sales.

Analysts have also pointed out this is a completely different strategy to Apple and its awaited HomePod which could be retailed around US$379.

audiopro 728x90 2 Google, Amazon Losing Money Over Discounted Smart Speakers
Stormaudio package 728x90 1 Google, Amazon Losing Money Over Discounted Smart Speakers
SmartHouse Yoga Slim Carbon 728 x 90 Google, Amazon Losing Money Over Discounted Smart Speakers
BW HT Upgrade 728x90 1 Google, Amazon Losing Money Over Discounted Smart Speakers
Versa3 Leaderboard 728x90 Google, Amazon Losing Money Over Discounted Smart Speakers
728x90 Google, Amazon Losing Money Over Discounted Smart Speakers
Noice Cancelling Headphones 728x90 Google, Amazon Losing Money Over Discounted Smart Speakers
728 x 90 Google, Amazon Losing Money Over Discounted Smart Speakers
Olimpia Splendid Unico Cooling 728x90 Google, Amazon Losing Money Over Discounted Smart Speakers
Incase LeaderBoard 728x90 Google, Amazon Losing Money Over Discounted Smart Speakers

YOU MAY ALSO LIKE