AirPods are expected to continue to grow in popularity next year according to analyst Toni Sacconaghi of Bernstein who claims within a note to investors that shipments could hit 85 million in 2020, with revenue potentially doubling.
Sacconaghi estimates that Apple sold $6 billion worth of AirPods in 2019, and seeing shipments of 85 million in 2020 could see revenue as high as $15 million next year from the AirPods and AirPods Pro lines combined.
Going beyond 2020, Sacconaghi claims that same rate of growth in 2021 would mean AirPods would become “Apple’s third-largest business”.
Given AirPods’ extraordinarily steep adoption curve and rapid saturation of the iPhone installed base, we see a dramatic deceleration in AirPods revenue growth by 2021 or 22, to single digit growth rates or possibly lower.
The insight follows after reports claimed Apple is forecasted to double AirPods shipments to 60 million this year thanks to the introduction of AirPods Pro, and that strong demand has lead to production volumes doubling.