Apple is reportedly creating its own high-end, noise-canceling, over-ear headphones that will go toe-to-toe with Bose's QuietComfort offerings. The company plans to launch the headphones as early as the end of this year, but has faced development challenges that might push back the release, the people said.
Apple has not released AirPods' exact sales numbers; the product has been lumped in with Apple Watch and other products in the "Other Sales" category.
Apple has sold over-ear headphones since it acquired Beats in 2014 but has yet to release an Apple-branded pair.
The report says that Apple has struggled with the design of the headphones.
Since introducing the Airpods previous year, which have since become a resounding success with customers, Bloomberg reveals that Apple is looking to contribute to its budding audio repertoire. Speaking of, future revisions of Apple's wireless AirPods are expected to be water resistant and house a new wireless chip to enable Siri voice activation.
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A pair of wireless headphones, to rival those produced by Bose, Sennheiser, and Beats itself, seems like a logical step for Apple.
Apple's headphone ambitions put it in a collision course with already-popular brands like Sony, Samsung, and Sony - and Apple's own Beats by Dre. However, given the strength of the Beats headphone name, the company will likely keep that brand while developing a different new one for the new headphones.
Currently, the headphones are set to target the high-end of the market. In the first seven months of 2017, the wireless headphone market sales increased by 22 percent compared to a year ago and Apple AirPods accounted for 85 percent of all wireless headphone dollar sales in the United States, according to research firm NPD Group.
Apple's cost for each $349 HomePod is $216, resulting in thinner profit margins than typical Apple hardware products, according to TechInsights.
If they are anything similar to the Airpod, except consumer pandemonium and long waitlists once these headphones make their retail debut.