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Amazon’s original Echo speaker seemed like something no one would want when it launched in 2014. That feels like ages ago because consumers are now happily gobbling up smart speakers with always-on voice assistant features. After rising to the number two spot behind Amazon, Google has now seen its market share drop as China’s Baidu grows by leaps and bounds. Meanwhile, Amazon has continued advancing. 

The smart speaker market is potentially worth billions of dollars, but it also pumps up interest in other smart home devices like cameras, locks, and sensors with which the speakers can communicate. Amazon has moved aggressively to acquire smart home companies like Eero, Ring, Blink, and more. As for Google, it has a full lineup of Nest thermostats, cameras, and other devices that play nicely with Google Home speakers out of the box. Plus, everyone using an Android phone already has Assistant. 

In the most recent quarter, Amazon saw sales of smart speakers with Alexa grow by 61.1 percent. That leaves Amazon with 25.4 percent of the market. Google is down almost 20 percent year-over-year, leaving it with 16.7 percent of the smart speaker market. That’s just low enough that Baidu managed to slide into second place with 17.3 percent. It had barely started selling speakersSEEAMAZON_ET_135 See Amazon ET commerce in 2018, so its Q2 2019 growth is an incredible 3,700 percent. 

The Amazon Echo Plus.

Baidu sells speakers in China where Google Assistant and Amazon Alexa do not operate, and there’s clearly pent-up demand. Baidu’s speakers run the company’s DuerOS assistant that is geared toward Chinese users. It has also worked to get DuerOS into as many form factors as possible. There are Echo-like speakers, ceiling-mounted lights, displays, and more. Amazon has also been cranking out new speakers — it released updated versions of the Echo Show smart display and several Echo speakers in the last year. 

Google has been chugging along with the same Home-branded speakers for a few years now. The original 2016 Google Home is still the heart of Google’s product lineup along with the budget Home Mini and premium Home Max. However, the Home doesn’t have as much power as newer Amazon devices like the Echo Plus. It’s probably time for Google to refresh its speaker lineup if it wants to stay competitive with Amazon.

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