The all-new Amazon Echo (Photo: Business Wire)
Amazon.com Inc. has triggered a race to the bottom in smart speakers.
Amazon slashed prices on its new lineup of six Echo devices as part of its Black Friday promotions last month. The price drop for its entry-level Dot, to $30 from $50, helped make it the No. 1-selling product on the online retail giant’s website over the Thanksgiving weekend. The new version of Amazon’s original Echo speaker now sells for $100, roughly half the price of the first-generation device when it launched three years ago.
That has forced rivals to react. Alphabet Inc. reduced prices on its Google Home smart speaker nearly 40% to $79 for a limited time and introduced a lower-priced option, the currently $29 Home Mini.
Apple Inc., meanwhile, delayed the launch of its HomePod until after the holiday season. Priced at $349, the HomePod is more expensive than Amazon’s top-of-the-line Echo Show with video screen, which is selling at a discounted price of $150 on Amazon.com.
This story originally appeared in The Wall Street Journal.
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