Gene Munster Predicts Apple Will Eventually Earn More From AirPods Than Apple Watch

[Juicy Box]

Despite selling for $159, considerably less than the Apple Watch at between $269 and $1,499, longtime Apple analyst turned venture capitalist Gene Munster believes AirPods will be "bigger than the Apple Watch" over the next decade.

I don't doubt this, but I hardly see anyone with the AirPods in my area. Although, I hardly see anyone with an Apple Watch, so I guess that doesn't mean much.

I was interested in the AirPods one point, as I really like my EarPods, but I feel like some basic features are missing. Maybe in a few years.

As for the Apple Watch, I have started to have more interest in it due to health related features, but I probably wouldn't buy it due to how thick they are. I also would prefer a round face. Maybe if Apple makes it a little thinner, I would consider it.

 

[ryancgoodfellow]

Out of curiosity have you actually used the AirPods for any length of time?

Same here. Airpods are extremely comfortable that sometime I forget I'm wearing them. I wonder people say they don't fit are just trolling.

I tried them for a week. I would put them in, and 5 seconds later they would pop out. No head motion at all, literally standing still. They would just naturally fall out of my ear. Whenever people post polite comments about how they aren't great for everyone, others pile on top to exalt how amazing they are. It's great that AirPods work well for a lot of people here, but don't be disillusioned and think that they are great for everyone. Not trolling here, I am a huge Apple fan and I was extremely excited to try them, and equally disappointed when they didn't work out.

 

[TheHateMachine]

Hey Gene, where is that apple branded television you were so sure about.

 

[oldwatery]

This is news?
This site along with Apple have totally lost the plot. And before you tell me to piss off.....bye bye!

 

[Bswails]

I am waiting for black AirPods. Give me black AirPods Apple. Now.

Matte Black please I only want my Apple Watch to be shiny lol

 

[44267547]

Except for the large amount of people that can't wear them because of their uncomfortable design. If they eventually offer different designs, it could be huge.

What's considered a "Large" amount of people? What it comes down to is comfortability and an appropriate fit. The Airpods are not a product for everybody, because everyone has a different shape to their ear. That said, I think Apple did a nice job with these and I would say given the success rate thus far, more users find them comfortable than not.

 

[Rychiar]

I tried them for a week. I would put them in, and 5 seconds later they would pop out. No head motion at all, literally standing still. They would just naturally fall out of my ear. Whenever people post polite comments about how they aren't great for everyone, others pile on top to exalt how amazing they are. It's great that AirPods work well for a lot of people here, but don't be disillusioned and think that they are great for everyone. Not trolling here, I am a huge Apple fan and I was extremely excited to try them, and equally disappointed when they didn't work out.

This is how i feel about every other type of earphones ever. the old iPod ones constantly fell out and inner ear ones that most companies sell immediately losen and fall out. The apple design even with the cord tugging on my current ones never fall out and are so comfortable I don't notice them. I avoided buying bluetooth earphones for years just waiting for apple to come out with ones with this design... of course now that they have they still haven't made them available to employee discount people yet and I was waiting to have my friend get me some

 

[doelcm82]

I am waiting for black AirPods. Give me black AirPods Apple. Now.

Space grey and rose gold.

 

[jrholt]

Interesting analysis there. I have to disagree however. I've yet to see a single person wearing them in London, and rush hour here isn't exactly deprived of people wearing headphones. The other issue they have to get around is you look like a t**t wearing them.

Interesting report from London. They are all over the place in NYC. At first I noticed one or two but now it seems that quite a few people have them.

 

[truthertech]

Except for the large amount of people that can't wear them because of their uncomfortable design. If they eventually offer different designs, it could be huge.

Sounds like they are already huge. Apple is now the largest seller of wireless headphones in the world.

 

[Kaibelf]

Interesting report from London. They are all over the place in NYC. At first I noticed one or two but now it seems that quite a few people have them.

Can verify from Chicago that I see at least 2-3 people per day wearing them when I go about my workday. Usually at least one or two during morning commute, and one on the way home, with the occasional lunchtime spotting.

 

[69Mustang]

<snipped for clarity> The AirPods I will literally forget they are in my ears while going about my daily routine at work.

That's a ton of extraneous info to basically confirm what @xkmxkmxlmx said. AirPods fit some ears and not others. They don't fit mine. No plastic only headphones fit in my ear. I need the silicone tips, like on Apple's in ear headphones. They should have a version of AirPods like that.

Same here. Airpods are extremely comfortable that sometime I forget I'm wearing them. I wonder people say they don't fit are just trolling.

If only everyone's ears were exactly like yours.

 

[cmwade77]

I kind of doubt it, not with so many other companies coming out with better designs that will work for more people that are just as easy to use.

 

[tkukoc]

The price for them is perfect.. anything above 200 and I wouldn't have even bothered. There's plenty of other headphones that fit better and sound better for cheaper. Now having said that.. I do love them because I can just carry them in a charging case. But this whole "they connect quick" nonsense simply isn't 100% accurate. They connect when they want to, I've had so many issues with disconnects and cannot find airpods.. Something Apple really should and hopefully will fix in future firmware updates.

 

[its93rc]

I wouldn't be surprised, I absolutely love my AirPods. I've recommended them to my friends and those who have purchased them share the same views.

 

[AZ63]

Makes sense as they are more general use and despite how much people enjoy their watches, they have a less universal use case.

You are going to have to explain this thought further.
I wear my watch all day long and look at it frequently for its features.
Headphones, I don't even put in/on every day.
In general, how is looking at your wrist for the time a less general use case than donning headphones to listen to audio?
[doublepost=1498582329][/doublepost]

I am waiting for black AirPods. Give me black AirPods Apple. Now.

You will have to wait until demand is so low for the Pods that Apple figures they can increase sales by offering additional "colors." By the looks of it, you may be waiting a long time.

 

[Brian Clifford]

If they are shaped like the ones that comes in the iPhone box I'm out of luck. Those do not fit my ears and constantly fall out.

This raises an interesting question? I was wondering if the ear buds that come in the iPhone Box are the same design as the airpods? If so, the ear buds would be a free way for individuals to see if air pods would be suitable for them.

 

[baller1308]

Current things holding it back now are limited supply and improper fit for some. But so far they've been great. If they introduced matching iPhone colors I'm sure it will sell even better.

This raises an interesting question? I was wondering if the ear pods that come in the iPhone Box are the same design as the air pods? If so, the ear pods would be a free way for individuals to see if air pods would be suitable for them.

The AirPods are ever so slightly bigger than EarPods.

 

[Born Again]

I'd agree. The apple watch isn't a must need. Wireless is.

But i do digress. Apple Pods are ridiculously ugly and people look absolutely silly wearing them.

 

[Bbqthis]

Wow, that's crazy, I can't see that happening, but who knows, I've been wrong before

I promise you, Gene Munster has been wrong more.

 

[spinedoc77]

Despite selling for $159, considerably less than the Apple Watch at between $269 and $1,499, longtime Apple analyst turned venture capitalist Gene Munster believes AirPods will be "bigger than the Apple Watch" over the next decade.

Munster predicts that AirPods will contribute "about the same amount of revenue" to Apple's pocket as the Apple Watch by the company's 2022 fiscal year. He also predicts that AirPods will have an average price of $200 by then, as the product shifts towards what he calls "augmented audio."Apple doesn't disclose AirPods or Apple Watch sales in its quarterly earnings results. Both products are instead grouped into its "Other Products" category, alongside sales of iPods, Apple TVs, Beats products, and accessories. Any revenue or sales numbers that circulate around are purely estimates.

Apple reported $2.87 billion revenue from "Other Products" last quarter, a 31 percent increase from $2.18 billion in the year-ago quarter.

Early last month, Apple CEO Tim Cook said the response to AirPods has been "great," with the wireless earphones remaining hard to come by.

"Demand for AirPods significantly exceeds supply, and growth in Beats products has also been very strong," said Cook. "In fact, when we combine Apple Watch, AirPods, and Beats headphones, our revenues from wearable products in the last four quarters was the size of a Fortune 500 company."

Despite launching over six months ago, AirPods continue to have a 6-week shipping estimate for orders placed on Apple's website. Some third-party resellers have occasionally had them in stock with earlier delivery.

Apple analyst Neil Cybart recently said Apple is "underpricing" the Apple Watch and AirPods in an effort to bring new users into its ecosystem. He said this pricing strategy was "unimaginable" ten years ago, when Apple was often accused of pricing products artificially high--aka the so-called "Apple Tax."

Cybart said a strong case could have been made for Apple to price AirPods at $249, or even $299. By selling them for $159, he thinks Apple has "removed all available oxygen from the wireless headphone space," and forced other wireless headphone makers to cut their own prices in order to remain competitive.

AirPods have been well received by early adopters, achieving a 98 percent customer satisfaction rate in a recent survey conducted by Experian and market research firm Creative Strategies.

Article Link: Gene Munster Predicts Apple Will Eventually Earn More From AirPods Than Apple Watch

Those airpods were the most god-awful piece of technology I ever had the displeasure of using, good riddance when I returned them and went back to my faithful Jaybirds. I don't know if "Audio AR" will actually be a thing, sounds lame to me. I guess you can get location based Siri telling you things, but I wonder how useful they will be without visual.

Alternatively I love my Apple Watch so much I bought 2 SS ones, one for the gym and another for work.

 

[Born Again]

guys do i look cool?

 

[lsutigerfan1976]

It make sense. The watch is sort of expensive. I know some ppl will argue that the price of the watch is in line with other watches. But most ppl will view it as an expensive toy. If they want fitness or something along those lines. They will buy something cheaper for their needs. And then you have to figure the cost of upgrading the watch every year or two. It may make some ppl hesitant to invest in a watch where they may not be able to do much with.

But there is more of a need for wireless earphones for more ppl. The price is much more reasonable, and ppl would see a bigger need for this. So I can see them selling more airpods one day, then watches. Unless they make some changes, like introducing a low end model cheaper watch.

 

[AZ63]

The only possible catch here is what will happen with the Watch when sub 7nm processes are shipping.

So what is your estimate as to the length of time for that to happen?
How close is the industry to sub 7nm and how long did it take to get to where it is now? Finally, has each incremental move down in size taken longer than the previous move to a smaller size or has it remained a straight line over time, this shrinking of processes size?

 

[StevieD100]

I am waiting for black AirPods. Give me black AirPods Apple. Now.

Black? That is so 2016. The current 'in' colour is Red with pink spots or was that Pink with Red Spots