The smart speakers as well as the digital assistants have actually grown quite rapidly in the recent times and it has been a revolutionary growth considering many aspects. The tech-giant Google has been actually able to embrace this tide which has risen more than expected, in a much better way, as compared to the other competitors in the market, which include Amazon with its dominant Alexa speakers, among others. The company has been able to achieve this feat despite being relatively late, by a few years, in the market.
One of the analysts from RBC has recently estimated that the company has not only been able to take the market share but it has also been able to rank the dollars, which has generated as much as $3.4 billion, as far the revenue of 2018, obtained from the Google Home devices alone, is concerned. The profit margin is nearly 25% in this case.
These numbers are actually slightly off the revenue that has obtained from the Pixel line of the company, as the company believes to have made the sale of nearly 52 million Google Home devices in the entire world, out of which, nearly 43 million are sold by the company in the United States itself.
RBC is expecting that the sales of these devices will get doubled up by the year 2020, and it will then be possible to make the profit stream comparable with the Pixel line of the company. If this is achieved the revenue will rise to as much as $7.5 billion, which is remarkable.
If we look at the graph, the rise of these devices has actually been meteoric, as only 2 million devices were sold in 2016, followed by nearly 15 million in the year 2017, and if we talk about this year, the numbers in case of the Google Home devices are close to nearly 35 million.