A new study has found that the smart speaker and music streaming markets are becoming more interdependent. According to CNBC, market research firm AudienceNet conducted the study, called “Audiomonitor 2018: The Overall Music Listening Landscape,” surveying 3,000 people older than 16.
The data revealed that music services such as Spotify, Apple Music and Pandora are picking up a larger share of music consumption, and that an estimated 14 percent of the U.S. population now owns a smart speaker such as Google Home, Apple HomePod and Amazon Echo. In addition, 43 percent of smart-speaker owners also use on-demand streaming services, with 37 percent taking on their subscriptions after buying a speaker.
AudienceNet noted that “43 percent of smart speaker owners also agreed that using their device increased the amount of music playlists they listen to, while around 40 percent discovered more music and 38 percent listened to a broader range of music than they did previously.”
Also, 73 percent of smart-speaker owners said having the device has “changed the way they listen to music,” with half saying they listened to more music and spent more time listening since buying their device.
The numbers come after an earlier report that the smart-speaker installed base is expected to near the 100 million mark by the end of 2018, representing close to 2.5 times the installed base at the end of last year. That number is expected to only grow, hitting 225 million units by 2020. Leading the market will be the Amazon Echo, which Canalys predicted will have 50 percent of the installed base this year. The second is the Google Home which Canalys said will account for 30 percent of the installed devices, while the Apple HomePod will have just 4 percent of the market by the end of this year.
“The U.S. is the world leader in smart speaker adoption,” said Canalys Research Analyst Vincent Thielke. “Amazon and Google know the power of an ecosystem lock-in and have been engaged in a fierce price war to try and build the largest installed base.”