Home Technology Wireless Speaker Market Size, Share & Forecast to 2032

Wireless Speaker Market

Wireless Speaker Market: Information by Connectivity (Bluetooth, Wi-Fi), Product Type (Standard, Soundbars, Smart), Price Range (Low-end, Mid-range, Premium), End-User (Residential, Commercial), and Regions—Forecast Till 2032

The global wireless speaker market size was valued at USD 42.35 billion in 2023. It is estimated to reach USD 154.35 billion by 2032, growing at a CAGR of 14% during the forecast period (2024–2032). Wireless speaker systems are louds
Report Code: SRTE55101DR

Market Overview

The global wireless speaker market size was valued at USD 42.35 billion in 2023. It is estimated to reach USD 154.35 billion by 2032, growing at a CAGR of 14% during the forecast period (2024–2032).

Wireless speaker systems are loudspeakers that receive audio signals via radio frequency (RF) waves instead of audio cables. The two most prevalent RF frequencies that support audio transmission to wireless loudspeakers are a variant of Wi-Fi IEEE 802.11 and Bluetooth, respectively. Wireless speakers generally use the same signal frequency range as cordless telephones, which is 900 MHz. Aside from the RF standard implemented, these speakers are distinguished primarily by their intended application.

Portable wireless speakers for outdoor use are typically designed to focus on durability, portability, and battery life, whereas stationary wireless speakers emphasizing sound quality are intended for home audio or surround sound systems for television and video. There may be hybrids of the aforementioned speaker types, such as water-resistant models designed for use in the shower and those designed to work with voice assistants.

Report Scope

Report Metric Details
Base Year 2023
Study Period 2022 - 2032
Forecast Period 2023-2031
CAGR 14%
Market Size USD 154.35 billion by 2032
Fastest Growing Market Asia-Pacific
Largest Market North America
Report Coverage Revenue Forecast, Competitive Landscape, Growth Factors, Environment & Regulatory Landscape and Trends
Geographies Covered
  • North America
  • Europe
  • APAC
  • Middle East and Africa
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Market Dynamics

Global Wireless Speaker Market Drivers

Rising Internet Penetration

Broadband and internet connectivity have been growing across the world in the recent past. Various countries to push digital economies are working hard toward increasing internet penetration and deploying LTE networks. As per statistics, there were approximately 4.39 billion internet users in 2019. There were approximately 3.5 billion social media users in 2019, approximately 45% of the global population in 2018. The increasing penetration of the internet has also boosted the concept of connected homes. As connected homes become increasingly popular, so does the demand for smart speakers globally.

Growing Online Music Streaming

The music industry's growth heavily impacts the development of related products and services, such as wireless speakers. The music industry is witnessing a drastic shift in the trend of consumers shifting from physical media to streaming and digital media. In the year 2019, streaming media emerged as the primary revenue generator, boasting a substantial user base of over 341 million individuals who have opted for paid subscription services.

The global recorded music industry grew by 8.15% to USD 20.14 billion in 2019. Online streaming was the highest contributor and registered YOY growth of 22.9% in 2019 from 2018, contributing 56% of the global revenue. The growth is driven by the increased paid subscription services that witness development across all the regions. Streaming services, such as Apple Music, Spotify, Pandora, and YouTube, are attracting more consumers by offering affordable subscription services. Therefore, healthy growth in online music streaming is likely to affect the market positively during the forecast period.

Global Wireless Speaker Market Restraint

Low Internet Penetration in Developing Economies 

The low penetration of fast internet connections and smart homes in developing economies is an issue the market will face while marketing these devices in developing economies such as India. According to the UN Broadband Commission for Sustainable Development report, six countries, including India, Indonesia, Nigeria, Pakistan, Bangladesh, and China, account for over 50% of the offline global population. Although internet access is improving in these countries, the major issue remains with connectivity and speed. The low internet penetration is projected to hamper the market expansion in these economies.

Global Wireless Speaker Market Opportunities

Popularity of Voice-First Technology 

Voice-first technology is used mostly by the current generation, which is growing around devices that can reply to queries. It is now common practice to interact with consumer electronics using voice, including computers, tablets, smartphones, and other wearable tech. Voice-first technology significantly impacts consumers worldwide, especially in developed parts such as the US and other European countries. Moreover, in the current scenario, it is finding its application among consumers and becoming the mainstream technology used in several consumer devices.

One such embedment has been observed in various product segments of consumer devices such as speakers. Voice-first devices include voice-assistant speakers such as the ones offered by Amazon (Echo, Echo Dot, and Tap) and Google (Home) and allow the voice command capabilities to be applied directly. In addition, the next generation of consumers would expect AI voice interaction. By 2025, voice will be used in over half of all computer interactions. This will create several opportunities for the market in the upcoming years.

Regional Analysis

Based on region, the global wireless speaker market share is bifurcated into North America, Europe, Asia-Pacific, Latin America, and the Middle East and Africa.

North America Dominates the Global Market

North America is the most significant global wireless speaker market shareholder and is anticipated to exhibit a CAGR of 9.88% during the forecast period. Factors such as millennials' high spending power, increased smartphone adoption, inclination toward new technology, and high urbanization are driving the growth of the wireless speaker market in North America. In addition, the US is a leading market for these speakers in the region. The market is mainly driven by millennials, who can be referred to as a digital generation due to their tech prowess and smartphone addiction. In 2019, about 96% of the US population was estimated to listen to music and spent more than 25 hours a week.

Similarly, more than 1.15 trillion on-demand tracks were streamed in audio and video format across several platforms in the country in 2019. The trend of on-demand streaming is boosting the sale of wireless speakers nationwide. The US is also witnessing the greater use of voice technology in facilitating e-commerce. The total voice commerce market value in the US is expected to reach USD 45 billion by 2023. These factors are expected to drive the demand for smart speakers, which will drive the market revenue for wireless speakers during the forecast period.

Asia-Pacific is estimated to exhibit a CAGR of 20.41% over the forecast period. The rate of urbanization in the Asia-Pacific region is the fastest of any region on Earth. The World Bank projects a 68% increase in urban households in the region between 2010 and 2030. Demand for wireless speakers is predicted to increase as urbanization accelerates in the developing nations of the Asia-Pacific region. In addition, developed markets in Europe and North America cannot keep pace with emerging markets in Asia-Pacific, as markets in nations such as China and India are growing in consumption size and purchasing power. For instance, China is predicted to add 400 million consumers whose annual income is over USD 8,000. Higher disposable incomes mean increased consumption and a growing preference for differentiated and value-added products. In the Asia-Pacific region, China, Australia, Japan, and South Korea are the largest markets for wireless speakers. However, demand in India, Malaysia, and Indonesia is expected to grow more slowly over the forecast period due to rising living standards.

In Europe, the growth of the wireless speaker market is profoundly influenced by the popularity of music among people. The average European individual consumes the maximum music volume compared with other regions. Europe is renowned for its industrial and commercial market innovation. The region is among the largest markets for smart products in the world. In Europe, consumers rapidly adopt smart speakers as they become an increasingly popular enduring consumer product. Consumers and businesses are expected to use voice-assistant technology extensively; over 60% of European women in 2020 were interested in purchasing a voice-enabled smart speaker in the future, driving the smart speaker market in the region.

In Latin America, the market would face low awareness and low penetration of smart devices, particularly in Central American countries. Therefore, the market is not expected to grow as in Europe and North America. However, with increased awareness about connected speakers in the market and the expansion of key regional vendors, the market is expected to grow considerably during the forecast period. The rise in demand for music and the growth of music enthusiasts will further drive the growth of the wireless speaker market in Latin America. The growing Internet and smartphone users are also a catalyst for the wireless speaker market growth in Latin America.

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Segmental Analysis

The global wireless speaker market share is segmented by connectivity, product type, price range, end-user, and distribution channel.

Based on connectivity, the global wireless speaker market is divided into Bluetooth and Wi-Fi. 

The Wi-Fi segment is the most significant contributor to the market and is estimated to exhibit a CAGR of 16.22% over the forecast period. The Wi-Fi speaker market witnessed growth due to increased demand for smart speakers. Future-looking developments in complementary and voice-first technologies would increase investors' faith in the market, and the market for Wi-Fi speakers would see an increase in venture capital (VC) funding. New firms are anticipated to develop smart speakers with advanced features while existing companies will continue to develop their product lines with enhancements. This will expedite the market growth during the forecast period.

Based on product type, the global wireless speaker market is segmented into standard, soundbars, and smart speakers. 

The smart speaker segment is the largest revenue contributor to the market and is projected to exhibit a CAGR of 18.45% over the forecast period. The smart speakers segment includes speakers with multiple connectivity options. Smart speakers have been witnessing massive popularity among end-users across the world. Several vendors have entered the market with their smart speakers to capture the growing popularity of voice-first technology among end-users.

Smart speakers are the latest and fastest-growing trend in the tech world. The smart speaker is a speaker that can support Bluetooth, Wi-Fi, NFC, and speakerphone and can be controlled by applications. Inbuilt voice recognition enables it to identify commands and act on them. Currently, vendors such as Amazon, Google, Apple, and Alibaba Group are offering smart speakers.

Based on the price range, the global wireless speaker market is divided into low-end, mid-range, and premium wireless speakers. 

The premium wireless speaker dominates the global market and is predicted to exhibit a CAGR of 16.92% over the forecast period. In today's scenario, the leading vendors offer enhanced audio quality, performance, durability, and versatility of products. These appliances are endorsed largely because of their great value for money, owing to the excellent performance and results they offer to customers worldwide. The premium models are priced above USD 200 and incorporate the latest technologies being invented by vendors. These include consistency in sound, coverage uniformity, built-in speakerphones, and water-resistant and dust-resistant features, increasing consumer preference.

Based on distribution channels, the global wireless speaker market is bifurcated into online and offline channels. 

The online channel segment is the highest contributor to the market and is anticipated to exhibit a CAGR of 15.73% over the forecast period. The purpose of online sales is primarily because vendors highly promote the concept and use of voice-first devices and Bluetooth technology through social media. The primary reason for the growth in online stores is that they offer numerous options compared to retail stores. Several avid e-tailing service users seek to buy these devices online because of the accessibility and convenience afforded by such channels. Some vendors provide YouTube videos (video tutorials) to help new users learn about the setup and operation of voice-assistant speakers.

Additionally, online prices are lower than in physical stores due to the discounts vendors provide to market their goods. The prominent selling vendor Amazon is the world's largest e-commerce player. These factors drive the demand for smart speakers through online channels.

Based on end-user, the global wireless speaker market is bifurcated into residential and commercial. 

The residential segment owns the highest market share and is projected to exhibit a CAGR of 14.64% over the forecast period. Residential wireless speakers find their application as home speakers in different households. These gadgets are used to stream music from computers or smartphones. Some households may have more than one wireless speaker installed. Multi-room wireless speakers are also gaining popularity and boosting market growth. Bluetooth-only speakers are considerably much simpler than any other device.

Bluetooth speakers prove to be an ideal option in cases where there is a lack of sufficient space to place large stereo systems. With hybrid speakers' increasing popularity, most individuals recognize its benefits. These speakers are the most versatile device an individual uses, owing to which they are gaining more prominence among the residential segment.

Top Key Players of Wireless Speaker Market

  1. Alibaba Group
  2. Alphabet (Google)
  3. Amazon.com
  4. Apple
  5. Samsung Electronics
  6. Sonos Inc.
  7. Bose Cooperation
  8. Sony
  9. Atlec Lansing
  10. Artis
  11. Bang & Olufsen
  12. boAt Lifestyle
  13. Creative Technology
  14. DOSS Audio

Recent Developments

  • July 2023- Sony introduced the new SRS-XB100, a compact wireless speaker with a Sound Diffusion Processor, stereo support, and water- and dust-resistant design. Additionally, it includes a carrying harness and can operate for up to 16 hours on a single charge.
  • June 2023- Skullcandy unveiled an entirely new lineup of potent wireless speakers. The new Ounce™, Kilo™, Terrain™ Mini, Terrain™, and Terrain™ XL Wireless Bluetooth Speakers offer a variety of features, such as extended battery life, all-weather rugged engineering, and ultra-portable design, at affordable prices without sacrificing sound quality.

Wireless Speaker Market Segmentations

By Connectivity

  • Bluetooth
  • Wi-Fi

By Product Type

  • Traditional
  • Smart

By Price Range

  • Low-end
  • Mid-range
  • Premium

By Distribution Channel

  • Online
  • Offline

By End-User

  • Residential
  • Commercial

By Regions

  • North America
  • Europe
  • APAC
  • Middle East and Africa

Frequently Asked Questions (FAQs)

What is the market size of global wireless speaker market?
The global wireless speaker market size was valued at USD 42.35 billion in 2023.
The global market is growing at a CAGR of 14% from (2023–2031).
The global market size is projected to reach USD 154.35 billion by 2032.
North America region has the largest share of the global market.
Rising Internet Penetration is one of the key trends in global market.

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