Tech: Wearables Update and A Special Guest *** INDUSTRY FOCUS ***

TL;DR

Wearables market continues to grow with 67% increase in shipments from last year's first quarter; Fitbit leads in market share.

Transcript

Dylan Lewis: Welcome to Industry Focus, the podcast that dives into a different sector of the stock market every day. Today is Friday's show, so we're talking tech, namely IDC wearables data, since the numbers are hot off the presses. I am your host, Dylan Lewis and we're doing something kind of special today. I am joined on Skype by the research m... Read More

Key Insights

• ❓ Fitbit continues to dominate the wearables market with 25% market share, followed by Xiaomi and Apple.
• 👀 The market is experiencing growth in both fitness wearables and smart watches, indicating a need for different functionalities and market segments.
• ❓ Traditional fitness companies like Under Armour and Nike are expected to enter the wearables market and disrupt the current landscape.
• 👶 Wearables with cellular connectivity present new possibilities for untethered experiences and hyperlocal advertising.

Questions & Answers

Q: What data does the International Data Corporation (IDC) use to estimate device shipments in the wearables market?

The IDC uses a combination of methods including vendor relationships, channel checks, distributors, suppliers, and internal teams to gather data on device shipments.

Q: How is the wearables market segmented?

The wearables market is segmented into fitness wearables and smart watches, with each addressing different market segments and functionalities.

Q: What are some challenges in the wearables market?

One challenge is the competition among vendors, with many copycat products flooding the market. Additionally, there is a need for more functionality and innovative features to differentiate wearables from smartphones.

Q: Are there any upcoming developments in the wearables market?

Yes, there are upcoming developments such as smart watches with cellular connectivity, which will allow wearers to be untethered from their smartphones. Other developments include smart clothing, smart eyewear, and smart ear-ware.

Summary & Key Takeaways

• The wearables market saw a 67% increase in shipments from last year's first quarter, reaching 19.7 million units.

• Fitbit leads in market share with 25% of the pie, followed by Xiaomi with 20% and Apple with 8%.

• The market is seeing growth in both fitness wearables and smart watches, with different vendors addressing different market segments.