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The Street
The Street
Jacob Krol

Report: Apple is bringing major changes to a fan-favorite product

Fast Facts

  • According to a new report, Apple is preparing to refresh its AirPods lineup with new entry-level and mid-range models in 2024.
  • Additionally, current models could gain new features via software updates, similar to AirPods Pro getting Adaptive Audio in 2023. 

Apple’s  (AAPL)  AirPods lineup already includes three true wireless earbuds—2nd Gen, 3rd Gen, and Pro — and one pair of headphones — Max. Still, in typical fashion for the technology giant and most other brands, there is always more on the horizon.

With countless other earbuds, from Sony to Samsung with Bose, Anker, and Beats, Apple is constantly looking to compete with feature sets, capabilities, and sound quality.

It turns out 2024 could be a big year for AirPods, with two new models potentially arriving, according to the latest report from Bloomberg’s Mark Gurman. Considering AirPods Pro got its most recent refresh in 2023, Apple is focusing on the replacements for the second- and third-generation AirPods.

Related: Samsung opens preorders for two innovative new items

These new models would represent the new entry point for AirPods and the middle of the lineup. They’re believed to boast a new, updated design offering improved fit and swapping the current Lightning port on their respective charging cases for USB-C.

Apple's latest AirPods Pro case features a USB-C port for charging.

Jacob Krol/TheStreet

The mid-range option — codenamed B768(M) — would step things up and trickle down many features from the AirPods Pro with USB-C, like active noise cancellation and enhanced FindMy capabilities. If these new AirPods go missing, the latter would make finding the case or individual earbuds easier.

Of course, the exact feature set, pricing, and firm launch date for eventual availability remain to be seen. Gurman reports that Apple could be planning to produce a “record-setting” number, with 20 to 25 million units expected to be made.

Apple will likely formally unveil its two new AirPods models in the Fall, which could align with the annual September event normally used to unveil the next iPhone and Apple Watch.

With more and more options in the earbuds space, price will likely be key for its latest AirPods. Currently, the second-gen are the most affordable, with an MSRP of $129, but they are routinely discounted to $90 or $100. Third-gen AirPods with a more comfortable design, longer battery life, and support for Spatial Audio cost $169, so we’d expect Apple to opt for a similar pricing strategy. 

However, Apple could drive more sales if the new entry-level AirPods are under $100 or it opts to keep the current 2nd Gen in the lineup at a more affordable price. Apple could even take a similar route to the M1 MacBook Air by discounting it and leaving it to an authorized retailer like Walmart or BestBuy to majorly discount the remaining stock. Either route, both new options will be more affordable than AirPods Pro at $249 or AirPods Max at $549.

If you already have AirPods, Apple is also prepping some software enhancements and additional features. We’ll likely see those unveiled at Apple’s yet-to-be-announced but typically annual Worldwide Developers Conference and ship those via a software update later in 2024. 

Related: Veteran fund manager picks favorite stocks for 2024

HONG KONG, CHINA - 2020/02/13: Digital wireless headphones, Airpods, seen at the American multinational technology company Apple store in Hong Kong. (Photo by Chukrut Budrul/SOPA Images/LightRocket via Getty Images)

SOPA Images/Getty Images

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