Skip to main content

Wearable Device Shipments will Exceed 200M by 2019

Wearable devices and their associated software applications are destined for increased adoption. Part of an emerging market of apps within the Internet of Things (IoT), these devices will generate significant amounts of user data that will further fuel an expansion of the mobile cloud phenomena.

Worldwide shipments of wearable devices will reach 110 million by the end of 2016 -- that's a 38.2 percent growth over 2015 market performance. An expanding lineup of vendors combined with consumer demand will generate double-digit growth, culminating in shipments of 237.1 million wearable devices in 2020, according to the latest worldwide study by International Data Corporation (IDC).

The rapidly evolving market will also be driven forward by the proliferation of new and different wearable products. Watch and wristband growth will reach a combined total of 100 million shipments in 2016 -- that's up from 72.2 million in 2015.

Other form factors -- such as clothing, eyewear, and hearables -- are expected to reach 9.8 million units in 2016 and will more than double their share by 2020. This will become the foundation for new experiences, use cases, and applications going forward. Still, IDC believes that a primary focus of the wearables market will be on smartwatches.

Wearables Market Development Trends

"Although smartwatches like the Apple Watch or Android Wear devices capture the spotlight, they will only account for a quarter of all wearables in 2016 and will grow to about a third by 2020," said Jitesh Ubrani, senior research analyst at IDC.

"By creating smarter watches, vendors also stand to side-step some of the typical challenges that smartwatch platforms face," added Ubrani. "There's no need to create a developer or app ecosystem for one thing, and there's plenty of room for simpler devices that appeal to the average user while smartwatches continue catering to the technophiles."

Meanwhile, smartwatches with an application software developer ecosystem -- such as the Apple watchOS and the Google Android Wear -- are expected to gain further salience in the market as both products and user experiences evolve.

Smartwatch Software Platform Highlights

Apple's watchOS is likely to see some slowdown in the early part of 2016, as anticipation builds for the second generation device. However, with newer hardware and an evolving ecosystem, Apple will remain the smartwatch leader through the majority of the forecast period.

Android Wear remains in second place as its list of partners grows and the platform further integrates into Google's larger ecosystem. The recent Google decision to limit UI differentiation may stifle further growth, but this could have a positive side-effect of forcing brands to compete on design and price, appealing to the fashion conscious, the budget conscious, or both.

Adding Android-based smartwatches to Android Wear would push the category into first place in 2020. However, Android smartwatches are expected to remain a small portion of the overall market and will likely do better in emerging regions, as local vendors attempt to differentiate themselves.

Real-Time Operating System (RTOS) -- primarily used as a proprietary operating system but capable of running third-party software apps -- will become the third largest smartwatch OS, largely driven by gains in emerging markets and its use by Chinese ODMs.

Appealing to consumers looking for a cheap alternative, according to the IDC assessment, RTOS devices will likely see relatively high adoption though the user experience will likely be sub-par by comparison.

Popular posts from this blog

Worldwide Contactless Payments will Exceed $1 Trillion

There's a huge upside opportunity for digital payment innovation in America. As of December 2017, Juniper Research estimates that only 9 percent of the total payment cards in circulation within the U.S. market was contactless-enabled -- this translates into just over 100 million cards. While this is a significant installed base -- around 13 percent of total chip cards issued in the U.S. market -- Juniper estimates that only 5.5 percent of the cards were actually used to make contactless offline point-of-sale purchases in 2017. This translates into about 6 million contactless cards used for payments. That's relatively low in comparison with more advanced markets such as Canada (60 million) and the UK (108 million). Contactless Payment Market Development Juniper Research forecasts that driven by payment cards and mobile wallets, in-store contactless payments will reach $2 trillion by 2020 -- that represents 15 percent of the total point of sale transactions. Furthermore

Digital Identity Verification Market to Reach $16.7B

As more enterprise organizations embrace the ongoing transition to digital business transformation, CIOs and CTOs are adopting new technologies that enable the secure identification of individuals within their key stakeholder communities. A "digital identity" is a unique representation of a person. It enables individuals to prove their physical identity during transactions. Moreover, a digital identity is a set of validated digital attributes and credentials for online interactions -- similar to a person's identity within the physical world. Individuals can use a 'digital ID' to be verified through an authorized digital channel. Usually issued or regulated by a national ID scheme, a digital identity serves to identify a unique person online or offline. Digital Identity Systems Market Development Complementary to more traditional forms of identification, digital identity verification systems can enhance the authenticity, security, confidentiality, and efficiency of

Software-Defined Infrastructure: The Platform of Choice

As more organizations adapt to a hybrid working model for their distributed workforce, enterprise CIOs and CTOs are tasked with delivering new productivity-enabling applications, while also seeking ways to effectively reduce IT cost, complexity, and risk. Traditional IT hardware infrastructure is evolving to more software-based solutions. The worldwide software-defined infrastructure (SDI) combined software market reached $12.17 billion during 2020 -- that's an increase of 5 percent over 2019, according to the latest market study by International Data Corporation (IDC). The market grew faster than other core IT technologies. The three technology pillars within the SDI market are: software-defined compute (53 percent of market value), software-defined storage controller (36 percent), and software-defined networking (11 percent). "Software-defined infrastructure solutions have long been popular for companies looking to eliminate cost, complexity, and risk within their data cente