U.S. Earphone And Headphone Market Size, Share & Trends Analysis Report By Product (Earphones, Headphones), By Price Band ( USD 100), By Technology (Wired, Wireless), By Application, And Segment Forecasts, 2024 - 2030

Market Size & Trends

The U.S. earphone and headphone market size was valued at USD 13.17 billion in 2023 and is projected to grow at a compound annual growth rate (CAGR) of 9.5% from 2024 to 2030. The U.S. accounted for 18.4% of the global earphone and headphone market. Portable music systems, such as smartphones, tablets, and music players, drive the earphones & headphones industry in the United States. Constant advancements and innovations have developed sophisticated noise-cancellation features, which have further added to the popularity. The industry dynamics are changing rapidly with the affordable and compact earphones/ headphones trend. Changing trends in headphones (especially wireless) have resulted in skyrocketing sales in the U.S. market.

The increasing popularity of wireless products has led to the introduction of true wireless earbuds, which help consumers eliminate the hassle of dealing with earphone/headphone wires getting tangled up or caught in jacket zippers. All top brands have launched their versions of true wireless earbuds with advanced features. However, Apple Inc.'s AirPods dominate the true wireless earbuds in the U.S. market.

Recent technological advancements in the field of several wireless technologies, such as Wi-Fi, Bluetooth, SKAA, artificial intelligence (AI), and augmented reality (AR), are projected to propel the wireless segment demand over the next few years. The use of AI and AR in earphones and headphones has allowed manufacturers to innovate and introduce several advanced features such as noise cancellation, gesture recognition, and adaptive hearing features in their products. This is expected to impact market growth over the forecast period positively.

Furthermore, manufacturers are targeting health & fitness-conscious customers by offering innovative features such as fitness monitoring & tracking in headphones. Such headphones help consumers monitor heart activity and other biometrics. Besides that, inbuilt software is designed in a way through which a user can plan, monitor, and execute fitness activities via a mobile application. Therefore, increasing adoption of earphones/headphones during workouts is primarily expected to drive U.S. earphones & headphones market growth over the coming years.

The increasing availability of counterfeit products may challenge the growth of U.S. earphones & headphones over the forecast period. The growing manufacturing of low-cost fraudulent products with increased offerings and benefits is expected to restrain market growth. Consumers usually opt for products offering similar features at a considerably low price, which may further impede the U.S. earphones & headphones market growth.

Market Concentration & Characteristics

The market growth stage is moderate, and the pace of the market growth is accelerating. The rising penetration of smartphones and other multimedia devices drives earphone and headphone growth in the U.S. market. Additionally, U.S. consumers are increasingly moving towards trending fashion & lifestyle, resulting in a demand for wireless earbuds and headphones in the U.S. market and driving the growth.

The U.S. market is concentrated, and there is a large scope for innovation in wireless and wired earphones and headphones to attract all age group consumers. The U.S. market has the presence of multiple earphone and headphone vendors, such as Apple Inc., Sony Corporation, Bose Corporation, Grado Labs, and others.

Market regulations on these electronic items are moderate, and business entities do not consider changing their designs except for earphones and headphones that are not harmful to eardrums and do not indulge in any data breach or harm any user's privacy. In addition, significant brands face competition from counterfeit products that are cheaper than the original.

Market witnesses that companies are investing heavily in training programs and third-party distributors. Furthermore, mergers or acquisitions and multiple partnerships are other growth strategies companies adopt to expand their distribution platform in the United States. Similarly, U.S. companies are investing in independent and direct sales forces to engage end-users concentration.

Product Insights

Earphone segment dominates the market and accounted for the highest revenue of USD 11.74 billion in 2023. Increased smartphone usage is helping the growth of this market. Similarly, the popularity of immersive entertainment experiences such as virtual reality (VR) and augmented reality (AR) among smartphone users has driven the demand for high-quality audio. Earphones and headphones with advanced sound technologies enhance the immersive experience by providing spatial audio and 3D sound effects.

However, the headphone segment is anticipated to witness a low CAGR of 1.4% from 2024 to 2030 in the U.S. market. The market for headphones in the USA might have reached a saturation point, with most consumers already owning a pair of headphones or wireless earphones. This could lead to declining demand as fewer people need to purchase new headphones.

Price Band Insights

The price band range from USD 50 -100 segment led the market and accounted for the highest revenue of USD 6.07 billion in 2023. Economic conditions can influence consumer spending habits, and due to that factor, companies are targeting mid-range pa mid-range such as bands USD 50 to 100.

The less than USD 50 segment is anticipated to witness a significant CAGR of 8.0% from 2024 to 2030. The market may witness growth in this segment in upcoming years, and if there is a decline in disposable income or a general economic slowdown in the United States, consumers might cut back on discretionary purchases like earphones and headphones.

Technology Insights

Wireless segment led the market and accounted for the highest global revenue of USD 11.86 billion in 2023. Technological Advancements in wireless technology, such as Bluetooth connectivity, have made it easier to use earphones and headphones with various devices. The convenience of wireless audio without tangled cables has contributed to the increased adoption of these devices in the United States.

Wired is anticipated to witness a low CAGR of 6.1% from 2024 to 2030 in the U.S. market. Increased demand for wireless Bluetooth earphones is causing a lower demand for wired earphones. In addition, changing lifestyles, such as true wireless earbuds, have gained popularity due to their sleek and minimalist design, attracting consumers.

Application Insights

Music & Entertainment segment accounted for the largest market revenue of USD 3.82 billion in 2023. The rise of music streaming services in U.S. such as Spotify, Apple Music, and Amazon Music has made it easier than ever for people to access a vast library of songs and listen to music on the go. Earphones & headphones provide a convenient and private way to enjoy music while commuting, exercising, or relaxing, driving the demand for high-quality audio devices. Thus, the segment is expected to grow significantly over the forecast period.

Virtual reality segment is expected to register the fastest CAGR of 8.8% during the forecast periodVirtual Reality (VR) and Augmented Reality (AR) technologies are gaining traction in the entertainment industry. VR headsets often come with built-in or detachable headphones to provide an immersive audio experience in virtual environments and which is popular in the United States. Therefore, demand for earphones with high-quality sound reproduction fueling the overall growth of this market.

Key U.S. Earphone And Headphone Company Insights

Some of the key players operating in the market include Apple, Inc., Harman International Industries, and among others.

• Apple Inc. designs and manufactures mobile communication and media devices, personal computers, and related software, services, and accessories. Its products range from the popular iPhone, iPad, and Mac to wearables devices, including earphones and headphones. In addition to these, the company also offers third-party digital content and applications, Beats products, iPod touch, Apple TV, HomePod, Apple Watch, and other accessories.

• HARMAN International Industries, Incorporated is a company that offers a diverse range of audio products under various brands, including AKG, Harman Kardon, Infinity, JBL, Lexicon, Mark Levinson, and Revel. Their product range includes a variety of wireless, sweat-proof sports, and lightweight headphones such as in-ear, on-ear, over-ear, and sports headphones. These headphones are equipped with the latest technologies, such as noise cancellation, Bluetooth, voice assistant integration, and TruNote audio technologies.

Grado Labs, and Plantronics, Inc. are some of the emerging companies operating in the U.S. Earphone and Headphone Market

• Grado Labs is a family-owned company that specializes in hand-building headphones and cartridges for audio equipment. The company offers a wide range of products, including phono cartridges, amplifiers, and other accessories. Grado Labs operates through two divisions: headphones and cartridges. Its headphones lineup includes the Wireless Series, Prestige Series, Statement Series, Professional Series, In-Ear Series, and Wireless Series, among other accessories. 

• Platronics, Inc. is a global communications company engaged in providing communications and collaboration solutions. Its primary product portfolio includes headsets, voice, video, content-sharing solutions, and other peripherals, including cameras, speakers, and microphones.

Recent Developments

• In June 2023, Bose partnered with Normani, a multi-platinum selling artist, to bring fans together from all over the globe. Normani is known for using her chart-topping hits to achieve this goal. Bose and Normani will collaborate to showcase the sounds and stories of her upcoming music release, which will be available to music lovers across the world.

• In September 2023, Apple Inc. announced AirPods Pro (2nd generation) with MagSafe Charging (USB‑C), making the world’s most popular headphones even better. AirPods Pro (2nd generation) continue to revolutionise personal audio by delivering incredible sound quality, up to double the Active Noise Cancellation of their predecessor, an advanced Transparency mode, a more immersive Spatial Audio experience, and an expanded range of ear tip sizes for an even better fit. AirPods Pro (2nd generation) are upgraded with USB‑C charging capabilities, additional dust resistance, and Lossless Audio with Apple Vision Pro. With iOS 17, all AirPods Pro (2nd generation) level up with access to new audio experiences like Adaptive Audio and Conversation Awareness.

U.S. Earphone and Headphone Market Report Scope

U.S. Earphone and Headphone Market Report Segmentation

This report forecasts revenue growth at country level and provides an analysis of the latest industry trends in each of the sub-segments from 2018 to 2030. For this study, Grand View Research has segmented the U.S. Earphone and Headphone Market report based on product, price band, technology, and application.

• Product Outlook (Revenue, USD Million, 2018 - 2030)

  • Earphones

  • Headphones

• Price Band Outlook (Revenue, USD Million, 2018 - 2030)

  • <USD 50

  • USD 50-100

  • >USD 100

• Technology Outlook (Revenue, USD Million, 2018 - 2030)

  • Wired

    • ANC

    • Others

  • Wireless

    • ANC

    • Bluetooth

    • NFMI

    • Smart Headphones

    • Others

• Application Outlook (Revenue, USD Million, 2018 - 2030)

  • Fitness

  • Gaming

  • Virtual Reality

  • Music & Entertainment