Another good column from Neil Cybart at Above Avalon:
It is very difficult to find a pair of wireless headphones priced lower than AirPods. In the run-up to Apple unveiling AirPods this past September, the wireless headphone market consisted of the following players:
- Kanoa: $300
- Bragi Dash: $299
- Erato Apollo 7: $289
- Skybuds: $279
- Earin: $249
- Motorola VerveOnes+: $249
- Samsung Gear IconX: $199
- Bragi Headphone: $149
Given the preceding list, a strong case could have been made for Apple to price its new wireless headphones at $249, or even $299. The fact that Samsung priced its Gear IconX at $199 seemed to suggest a sub-$200 retail price for AirPods was unlikely. Instead, Apple sent shockwaves pulsing through the market by pricing AirPods at only $159. The action instantly removed all available oxygen from the wireless headphone space. The idea of Apple coming out with a new product that would underprice nearly every other competitor was unimaginable ten years ago.
He makes a strong case that Apple Watch is underpriced compared to its competition, too.
AirPods are still showing a delivery estimate of “6 weeks”. Either demands remains unexpectedly strong or production remains unexpectedly difficult (or some combination of both).