Imitators are hungry for a piece of the $16 billion Apple AirPod market

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These Zoom AirPods, on display at the Apple Park Visitor Center in Cupertino, are authentic – but spotting the difference between real and fake electronics isn’t always easy.

US Customs and Border Protection reports that so far in fiscal year 2021, it has seized about 360,000 sets of wireless headphones, valued at approximately $62.2 million. That’s the equivalent of just nine months of seizures – but it’s already more than 290,000 sets worth $61.7 million confiscated throughout fiscal year 2020.

In one such big frenzy, CBP confiscated about 6,400 counterfeit AirPods and AirPods Pro in Cincinnati, Ohio, on July 11. If the confiscated merchandise were original, their combined Apple MSRP would have been about $1.3 million – but the five confiscated cargoes were only $312 each. The five shipments were destined for a single address in Brownsville, Texas.

Then again, the Feds may not always be right. In September 2020, New York City Customs and Border Protection seized a shipment of 2,000 units of perfectly legitimate OnePlus earbuds bound for Nevada, claiming they were “fake AirPods”. When CBP was pressed about the error, the company doubled down, saying the company “does not have to put a text mark or ‘Apple’ design on its products” to violate trademark law and adding that importers “have many opportunities … to provide evidence that it does not infringe Their product is related registered trademarks.”

Of course, not all fakes target Apple – well-known brands like Sony, Jabra, Samsung and Bose have their own fake artists. But despite its premium brand position, Apple holds the lion’s share of the wireless earbuds market. In 2020, Apple captured 25% of the “smart personal audio” market share – nearly three times that of Samsung, its closest competitor. That market share added nearly 109 million units — and according to market analysis firm Canalys, it had revenue of $16 billion or more.

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Nearly 80% of the world’s counterfeit consumer goods come from China, according to Craig Crosby’s “Counterfeiting Report”. In late 2016, Apple bought 100 supposedly Apple-made products on Amazon and found that 90% of them were fake — even though they came directly from Amazon, not from third-party listings. During the ensuing lawsuit, Amazon notified Apple that the counterfeit products were supplied by Mobile Star, despite heavy use of the Apple trademark.

Although some counterfeit goods are obvious thefts, some require physical disassembly and expert product knowledge to identify them. Reusing stolen factory molds is common, and some fake AirPods correctly mimic the pairing process with iPhones and even display the appropriate Apple serial numbers.

Unfortunately, “similar appearance” does not refer to “similar quality” – substandard audio drivers and amplification circuits are difficult to identify compared to the uncolored or slightly distorted chassis. Consumers should be concerned about safety as well; Amazon product reviews for fake chargers often include stories of fake parts overheating, burning, or even completely burning out during normal use.

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