Apple Watcher Says AirPods Vendors Are Prepping For 'Record Setting Run' With Upcoming Launch

Apple Inc. AAPL has reportedly been gearing up for a significant AirPods launch, with its suppliers preparing for a “record-setting run.”

What Happened: In his latest weekly “Power On” newsletter, Bloomberg columnist Mark Gurman revealed that Apple’s overseas suppliers are about to commence production for the next AirPods line.

The production is expected to start in May at GoerTek Inc. and Luxshare Precision Industry Co., with an estimated output of 20 million to 25 million units. This marks a significant increase from previous new models. The release is anticipated around September or October.

“The company's vendors overseas are nearing the start of production for the next AirPods line, I'm told — and it could be a record-setting run,” Gurman stated.

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The new models codenamed B768(E) and B768(M), will replace the second and third-generation AirPods. Both will feature a new design, improved fit, and charging cases with USB-C. The mid-tier version will also include active noise cancellation and Find My speakers in the case.

Previously, Gurman reported that the Cupertino, California-based tech giant is also planning significant AirPods-related software upgrades as part of the iOS 18 rollout this fall, including a hearing aid mode for the AirPods Pro and a hearing-test feature.

Why It Matters: The news of a “record-setting run” for the AirPods comes amidst a shift in Apple’s product strategy. Earlier, Gurman suggested that Apple’s focus in 2024 would shift from the iPhone, its most successful product, to its wearable business, including the AirPods.

Apple reported its first-quarter earnings and revenue in February, that increased year-over-year and beat Street expectations. Apple’s first-quarter earnings per share stood at $2.18, with revenue reaching $119.6 billion, attributed to the exceptional performance of Services and iPhone revenue streams.

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Disclaimer: This content was partially produced with the help of Benzinga Neuro and was reviewed and published by Benzinga editors.