Global TWS Market to Grow 33 Percent in 2021, Apple to Lead: Counterpoint

Global truly wireless (TWS) earbuds market will grow 33 percent year-on-year in 2021 and reach 310 million units, according to market research firm Counterpoint. The firm said that the proportion of sales of the low- to mid-end models has increased faster than expected due to the economic downturn and related uncertainties. That growth has also influenced the market performance of high-end brands. However, companies including Apple, Xiaomi, and Samsung led the market in 2020, and are expected to retain their leadership positions this year. The trend of working and studying from home owing to the COVID-19 pandemic is also likely to play a vital role in the segment's growth in 2021.

Counterpoint in its Global Hearables (TWS) Market Forecast, 2021-2023 report, has predicted a considerable growth in the global TWS earbuds market in 2021. Apple will maintain its leadership by selling around 84 million units of its AirPods, though it will lose its share by four percent from 2020, according to the report. And Xiaomi and Samsung are forecast to retain their nine and seven percent market share, respectively.

The market of TWS earbuds will make aggressive moves in the fourth quarter of 2021 around the time when Apple and other brands are expected to launch their new products, the report said.

“Most anticipated is a new release from Apple, its first in two years. We expect it to be one of the biggest drivers of TWS market growth from Q4 2021 to the next year,” said Liz Lee, a senior research analyst at Counterpoint.

Apple is predicted to continue its leadership in the TWS earbuds market globally in 2021
Photo Credit: Counterpoint

Although Apple is expected to continue its leadership, the research firm predicts that there will be high growth of the low- to mid-end segment, which will continue through the year. The trend will, however, gradually shift to the mid- to high-price segment in the future, Lee said.

“Most premium brands will add advanced features and various functions to their new models and create high value addition in the long term. Meanwhile, low- to mid-priced brands will further enhance price competitiveness to compete for market share,” she added.

In 2020, Counterpoint noted that the market of TWS earbuds grew 78 percent year-on-year and slightly exceeded the initial annual estimate for the year to reach 233 million units. However, low- and mid-price segment products were said to be the growth drivers in 2020.