(Yicai Global) March 20 -- China's smart speaker sales are expected to drop 25.8 percent in the current quarter from a year ago due to the Covid-19 epidemic, but performance is expected to improve and level out at around 10 percent growth for the rest of the year, according to a new market research report released today.

Despite causing a short-term dip in growth, the epidemic should also give rise to greater demand for home entertainment, according to International Data Corporation. This will likely make more people buy the devices and to pay for the services they offer.

Smart speakers are internet-enabled devices that can be controlled by voice command and can stream audio, relay information and communicate with other devices such as smart home systems. The latest come with touch screens and can offer a wider variety of applications including video calls, games and online classes.

The market will grow from voice and visual interaction tools this year to become part of an intelligent ecology, said Sophie Pan, research manager at IDC China. This is an important consideration for leading companies looking to secure more market share, she added.

Nearly 46 million smart speakers were sold in China in 2019, more than double the year before, according to the report. Over 90 percent of the market is held by tech giants Alibaba Group Holding, Baidu and Xiaomi who have invested heavily in the sector in recent years to enrich their product lines.

Alibaba was the biggest player, selling 15.6 million units last year, a jump of 87.9 percent from the year before. Baidu's sales almost quadrupled to 14.9 million units and Xiaomi came third with sales up 89.7 percent at 11.3 million units.

Editor: Kim Taylor