Sonova is preparing to sell Sennheiser’s consumer audio business just four years after acquiring it, officially classifying the unit as a discontinued operation, according to a announcement on its website.
A Swiss hearing aid maker, Sonova Holding AG, acquired Sennheiser’s consumer division in 2021 for around €200 million. The deal included roughly 600 employees and production facilities across Germany, Ireland, Romania and the United States.
At the time, Sonova outlined a strategy to target younger consumers and gradually expand its reach to users up to the age of 55. The long-term goal was to eventually integrate its hearing care products under its core brand with Sennheiser headphones when the timing was right.
However, while the plan appeared sound in theory, Sonova later acknowledged challenges in execution. The company said there was limited overlap between the consumer audio and hearing care businesses in terms of marketing channels, while consumer needs differed significantly.
Customers purchasing true wireless stereo headphones, for instance, showed little interest in hearing aids. Moreover, waiting for users to reach the age of 55 proved too long to meaningfully drive sales in Sonova’s core hearing care segment. (continues below)
Photo: screenshot website sonova
As a result, the hearing care business now accounts for only about 6% of total sales, while overall revenue has declined by around 8% since 2023. To sustain sales and reduce inventory, Sonova increased discounting and promotional campaigns, which in turn weakened Sennheiser’s premium brand positioning.
Analysts at RBC Capital Markets estimate that the consumer audio division may now be worth less than at the time of acquisition. A key concern lies in the ownership of the Sennheiser brand name.
Sonova does not fully own the brand but operates under a perpetual licence, meaning any transfer of the business to a new buyer could require approval from the founding Sennheiser family. Despite selling the consumer unit, the family remains active in the professional audio segment, which generates higher revenue.
There is currently no confirmed buyer for the business. Sonova said that despite the "discontinued operation" status, warranties and after-sales services will continue as normal.
Nevertheless, uncertainty remains over potential changes under new ownership, particularly regarding warranty terms, availability of spare parts, and software support for existing headphone models, leaving consumers unsure whether conditions will improve or deteriorate.
Source: Sonova, Headphonesty
Photo: Facebook Sennheiser
Photo: Facebook Sennheiser
