Home Apple AirPods 'AirPods 3' Expected to Use Similar System-in-Package Technology as AirPods Pro, Kuo...

‘AirPods 3’ Expected to Use Similar System-in-Package Technology as AirPods Pro, Kuo says

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AirPods 3 System-in-Package

'AirPods 3' Expected to Use Similar System-in-Package Technology as AirPods Pro Kuo says

TF Securities analyst Ming-Chi Kuo believes Apple will switch to a more complex SiP (System-in-Package) solution for the third-generation AirPods which he had previously claimed will launch early next year. Apple currently uses surface mount technology (SMT) for the second-gen.

Compared to SMT technology, SiP systems typically enable manufacturers to pack more components into a smaller space. Apple’s AirPods Pro, for example, employs an SiP design with an Apple-designed H1 chip that handles audio, Siri commands, noise-cancelling capabilities and more.

It is unclear what benefits the switch to SiP solution will mean for end consumers with the third-gen AirPods though. Despite the next AirPods iteration featuring an AirPods Pro-like form factor, the earbuds are unlikely to feature ANC as the company could use it as a differentiating factor between the regular and pro AirPods models.

Kuo in Monday’s note reiterates Apple’s intent to transition the so-called “AirPods 3” to a design akin to AirPods Pro, a move that sunsets a long-in-the-tooth design first seen in 2016. SiP technology is likely a necessity in adopting the miniaturized form factor.

AirPods 3 System-in-Package

With “AirPods 3” expected in the first half of 2021, current-generation AirPods Pro part suppliers should see component shipments grow an estimated 50% to 100% year over year, Kuo notes. Amkor, JCET and potential newcomer Huanxu Electronics stand to benefit with the transition to SiP technology, as will AirPods case hinge producer Shin Zu Shing. Varta and Sunwoda Electronic are anticipated to make strides as button cell battery and case battery suppliers, respectively, while assemblers Goertek and Luxshare will see similar gains.

Kuo expects AirPods shipments to soar by 65.1% this year. A large factor behind this will be due to the company’s decision to not bundle EarPods in the retail box of the iPhone 12. Apple is also expected to launch a promotional offer for the AirPods later in the year that should lead to a massive boost in their demand. For 2021 though, the analyst expects AirPods shipments to grow by only 28% YoY.

Related Post: ‘iPhone 12 Pro’ Models Could Be Capable of Shooting 4K Video at 120fps and 240fps

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