I was skeptical but they have received very good reviews from respected people in the audio field. Do you have a better performing alternative in mind for $700 including amplification?
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I agree that Apple is entering into a crowded field and has tried to walk a fine line, but for someone looking to spend $500-$1,000 on a stereo for music, it is an intriguing option. $1,000 frankly doesn't get you very far in the audiophile world.
For $1000 you can get speakers that likely sound better and definitely are far far more versatile (allowing any audio source, allowing stereo, etc.) that HomePod. For example, a pair of B&W bookshelf speakers.