Smart speaker is the new ruler of the consumer technology segment, says a new report from Canalys. As per the report, Smart speakers are the fastest growing technology segment with shipments hitting 9 million units in Q1 2018, up 210 per cent over Q1 2017.
Google and Amazon are seen as the two leading names in this segment with Google taking the top spot from Amazon for the first time. The company shipped 3.2 million of its Google Home and Home Mini speakers over Amazon's 2.5 million shipments of its Amazon Echo speakers in the Q1.
Google has hit a shipment of 36.2 per cent over Amazon's 27.7 per cent in the first quarter. This is in stark contrast with the last year's figures where Amazon held 79.6 per cent of shipments over Google's 19.3 per cent.
The reason why Google managed to have higher shipments than Amazon is that of the company entering into new markets like India where it has joined hands with domestic service providers like Jio and ACT to reach its users.
Canalys Analyst Ben Stanton says that Googles biggest advantage is in the channel. Operators and retailers tend to prioritize Googles speakers over those from Amazon, as Amazon is in the tricky position of being a direct competitor. But Amazon is fighting back hard, and the sheer quantity of Alexa Skills and smart home integrations will be tough for any competitor to match.
The third and fourth posts on the global list are taken by Chinese companies- Alibaba and Xiaomi.
Alibaba takes the third spot with 11.8 per cent Tmall Genie shipment and Xiaomi on fourth with 600,000 shipments of Xiao AI speaker. Hattie He, Canalys Research Analyst, credited Alibaba's superior channel reach and powerful marketing capabilities for its higher shipments than Xiaomi.
Awareness of smart speakers and their uses is growing steadily among Chinese consumers. But competition is building quickly for Alibaba, as IPO-hopeful Xiaomi takes to the smart speaker segment with much vigor in 2018.
