Revisiting the HomePod Discontinuation, Sonos Earnings, Smart Speakers Getting Squeezed (Daily Update)

The following update was sent to members on August 24th.

Hello everyone. A good way to get back into the swing of things is to talk more about HomePod. The discussion will include a look at the latest earnings report from Sonos and a broader theory of mine regarding smart speakers.

Let’s jump right in.

Revisiting the HomePod Discontinuation

The most recent Above Avalon Report was dedicated to Apple’s HomePod discontinuation, a decision that is still surrounded by many unanswered questions.

In a development that likely deserves its own report, we have seen Apple very recently go down the path of discontinuing a few products (iMac Pro / iPod). While each discontinuation has its own story and surrounding circumstances (the company did embrace a product strategy shift a few years back), the HomePod discontinuation stands out to me as being the most peculiar.

Member reactions to the report came in swiftly. Some agreed with my experience that the HomePod was a very impressive product – one of the most impressive Apple has shipped in years. Others raised concerns with how their HomePod(s) produced a feeling of “never [being] in control of the device.” Additional issues cited included connectivity problems, headaches with needing to restart and update the units, and just an overall uncharacteristic unevenness in experiences. That last item is interesting as the HomePod, in addition to the HomePod mini, are indeed different products when thinking of how they are designed to be used in communal settings while Apple Watch, AirPods, iPhone, etc. are designed for one-to-one settings.

One comment in particular though stood out to me.

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HomePod: The Discontinuation That Still Has Unanswered Questions (Above Avalon Report)

An examination of the run-up, decision, and fallout related to Apple’s most curious product discontinuation.

Written by Neil Cybart

In March 2021, Apple discontinued the original HomePod with the stated reason of focusing on the HomePod mini. The decision was a curious one, not only because Apple rarely discontinues products, but also the HomePod mini is an all-around inferior product in comparison to the HomePod.

More than a year later, all of the questions related to Apple’s decision to discontinue HomePod remain just as valid today. The HomePod was one of the more impressive products Apple had shipped in years. The stellar music listening experience obtained by pairing two HomePods together remains an eye-opening experience. It’s hard to imagine Apple executives have replaced original HomePods in their homes with HomePod minis.

HomePod may be up there as the most questionable product discontinuation in modern Apple. In its quest to say no much more often than yes, the HomePod may have fallen victim to Apple’s focus culture.

The Stationary Smart Speaker Market

In the late 2010s, we experienced a stationary smart speaker mirage. Companies were using smart speakers to take advantage of an awkward phase of technology in which there didn’t seem to be any clear direction as to where things were headed.

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