A few years back, the domestic smart speaker market was a hotbed of activity, with a multitude of companies jumping on the bandwagon and rolling out an array of smart speaker products. Everyone was convinced that smart speakers could serve as a gateway to intelligent traffic, and naturally, no one wanted to be left behind.

Yet, after years of development, numerous manufacturers have opted to bow out. They realized that, despite churning out numerous speaker variations, consumers weren't biting, and these devices failed to become a major traffic entry point. Many believed the smart speaker craze had already fizzled out.

Compared to its heyday, the market has indeed cooled down significantly, but it hasn't completely frozen over. There are still some players who are thriving.

Recently, Runto Technology unveiled the latest online data report for smart speakers in August, revealing that speakers boasting a genuine ecosystem, quality, and AI capabilities continue to hold their ground. Products that rely solely on gimmicks without an underlying ecosystem have indeed lost their appeal.

The data indicates that over the past year or so, monthly online sales have fluctuated between 200,000 and 300,000 units, remaining relatively stable despite the ups and downs.

In August, domestic sales reached a total of 182,000 units, with sales revenue hitting 50 million yuan. While this may not seem like a staggering figure, it's certainly not negligible, considering the average price stood at 277.6 yuan. After all, this is just monthly data, and the annual domestic market is valued at nearly 1 billion yuan.

From a brand perspective, Xiaomi reigns supreme, with a sales share as high as 62.8%! It commands 55.2% of the sales revenue, capturing more than half of the domestic market share and outperforming all other competitors combined.

The top three brands—Xiaomi, Baidu, and Tmall—collectively hold 97% of the domestic market share. If we include Huawei and Apple, the top five brands account for a staggering 99.6% of sales, meaning that, aside from these five, the rest have practically faded into obscurity.

Why does Xiaomi enjoy such roaring success? It's intricately linked to the Xiaomi ecosystem. Other smart speakers may merely function as interactive speakers without a robust ecosystem backing them up, with their capabilities limited to the speaker itself.

However, Xiaomi smart speakers are more than just speakers. Behind them lies the expansive Mi Home ecosystem.

Through Xiaomi speakers, users can seamlessly control a wide range of smart home products. The Mi Home hub is fully leveraged, currently supporting connections to over 6,000 smart devices, and enabling seamless integration between people, vehicles, and homes—a barrier that other products are unlikely to overcome in the short or even long term.

I believe that the ecosystem is the cornerstone of why people adore Xiaomi speakers, why they sell so well, and the fundamental difference between Xiaomi speakers and their counterparts.