🏅▷ AirPods already generate more revenue than Spotify, Twitter, Snap and Shopify

Recently, we spoke here on the website that AirPods they have everything to soon surpass the peak of historical iPod revenue. But the investor Kevin Rooke he preferred to look at it a little differently.

Using data from market research and an estimate of the average selling price of AirPods, Apple’s wireless headphones are now known to have generated in 2019 around $ 12 billion in revenue for the company – a growth of 128% compared to 2018, which had already registered a growth of 133% compared to 2017.

Now, look at the following chart:

Yes, AirPods alone already generate more revenue today than Spotify, Twitter, Snap and Shopify combined, and will most likely surpass Uber in 2020.

Imagine a startup with $ 12 billion in revenue, annual revenue growth of 125% + (two consecutive years) and margins à la Apple (30-50%). Without knowing anything more about the business, how much would you rate it? $ 50 billion? $ 100 billion? More?

This is Apple’s AirPods business, the fastest growing segment of the world’s most valuable company.

An estimated 15 million AirPods were sold in 2017, 35 million in 2018 and 60 million in 2019 – an accumulated total of around 110 million units, compared to an installed base of approximately 900 million iPhones worldwide. Imagine the growth potential.

There are those who disagree with these numbers, however. Neil Cybart, founder of Above Avalon, questions Rooke’s sources and estimates that the actual revenue figure for AirPods in 2019 would have been $ 7.5 billion. Not bad, but well below $ 12 billion, of course.

Not to mention, yet, that AirPods are an Apple business entirely independent of the iPhone. Although iOS has some special integrations with them (quick pairing, audio sharing, noise cancellation adjustment on the Pro model, etc.), the headphones are Bluetooth and therefore perfectly compatible with Androids, PCs, Smart TVs and so on. go.