Apple Watch is by far the most popular smartwatch
The Apple (AAPL) Watch has clearly been the leader in the smartwatch space for a while now. Its penetration among iPhone owners has been increasing. According to Canalys, Apple shipped ten Apple Watches for every 100 iPhones last year.
According to recent research by Strategy Analytics, Apple shipped 22.5 million smartwatches last year, up 27.1% from the previous year. It cornered 50% of the smartwatch market, falling from a 60.4% market share in 2017.
Now, IDC (International Data Corporation) has come out with its latest forecast for the entire wearables industry (WEAR), which has seen dwindling shipments in recent years, with smartwatches being a bright spot.
IDC expects Apple’s stellar growth to continue
According to IDC, the global wearables market will grow 15.3% from last year to reach 198.3 million units in 2019. IDC also predicts that wearables shipments will reach 279 million units in 2023, a 10.1% compound annual growth rate over 2018.
According to IDC, “Smartwatches from Apple will undoubtedly lead the way…despite increasing competition.” Apple’s latest watch, the Apple Watch Series 4, has gained popularity, especially among older people, as it proactively and regularly monitors the user’s heartbeat and alerts the user of any irregularities.
The Apple Watch is one of Apple’s fastest-growing units. Revenue from smartwatches is part of Apple’s Wearables, Home, and Accessories segment, which generated $7.3 billion in revenue in the first quarter of fiscal 2019 (which ended in December 2018).
While revenue from the Apple Watch may continue to surge, the segment it belongs to represented only 8.6% of Apple’s total revenue during the first quarter of fiscal 2019.