Baidu Takes No. 2 Spot in Global Smart Speaker Market

Baidu Takes No. 2 Spot in Global Smart Speaker Market

Baidu is now the No. 2 two smart speaker company globally in terms of shipments, according to a new report from Canalys.

The Chinese technology giant is has overtaken Google for second place despite the fact that the Xiaodu smart speaker is only available to buy in China. Amazon remains the overall leader with more than 25 percent share of the market and 6.6 million shipments.

Baidu entered the affordable smart speaker market last June when it launched the 249 yuan ($39) Xiaodu. Buoyed by the appeal of its new low-cost device, Baidu became a top three smart speaker company in Q1 of this year, ahead of Alibaba and Xiaomi.

According to Canalys, Baidu enjoyed year-on-year (YoY) growth of 3,700 percent in smart speaker shipments. Amazon retained the top spot, with 61.1% growth in units shipped. Google fell 19.8 percent, from 5.4 million units in Q2 2018 to 4.3 million in the corresponding period this year.

Baidu only sells its speakers domestically, while Google has yet to launch its smart speakers in China. Canalys data from earlier this year showed that China had overtaken the U.S. to become the biggest smart speaker market, claiming more than half of all global shipments in Q1 2019.

The news comes shortly after Baidu, which is often referred to as China’s Google, dropped out of China’s top 5 most valuable internet companies after having shed $66 billion of capitalization in the past year.

Edited from Venture Beat