Global Wearable Electronics Market was valued at $7.4 Billion in 2015 and is estimated to grow at a CAGR of over 35% from 2016 to 2024.
The advent of mobile wireless systems and smartphones has flickered a new era for wearable electronics worldwide. The industry is still in the nascent stage embarking ample growth opportunities over the coming years. The expanding application areas on account of rising number of customers adopting digital services and the presence of wireless connectivity is expected to propel market growth.
Escalating demand for wearable scanners and computing devices in logistics, warehouse, and the other operations where efficiency is unavoidable is another factor driving market growth. However, higher power usage of wearable devices, lack of design features, high initial investment and users’ concerns regarding data privacy are some factors inhibiting growth.
Global Wearable Electronics Market, By Product, 2014 – 2024 (USD Billion)
Wearable electronics includes products such as smart watches, fitness gears, smart clothing, medical devices and an arsenal of other digital devices. Smart watches account for majority market share and emerge as the fastest growing region with CAGR exceeding 40% over the forecast period.
The industry is witnessing increasing investment by companies spanning the entire value chain. This investment established in several new products and widespread tailored R&D investigating pertinent technology areas. Wearable electronics find compelling application in primarily in sports and fitness. These devices attract increasing attention from health-conscious consumers resulting in elevating demand over the next few years.
North America is estimated to account for the majority market share in 2015 which is anticipated to increase over the coming years on account of growing technology penetration in the region. Europe is also estimated to increase product adoption owing to the presence of high fitness concerned population in the region. Further, Asia Pacific may also emerge as a high revenue generating region over the next few years.
“Optimal Price Point (OPP) for Wearable Electronic Products”
Estimated Average solution cost – $ xx globally. However, with increasing local manufacturing, growing solution implementation and increasing SMEs, OPP and range of acceptable Prices (RAP) are going to change. We at Ameri Research continuously track these prices with our proprietary pricing model.
“Development of low-power radio chips to increase adoption across new application areas”
With the advent of sophisticated sensors, communication technology and power efficient radio chips, wearable electronics are witnessing uses in expanding application areas including healthcare, media & entertainment, sports and gaming industry. These devices are also expected to flourish with application in construction, retail, and manufacturing sector.
“Apple Inc., Adidas AG, Google Inc. and Infineon Technologies AG account for majority market share”
Apple Inc., Google Inc., Glassup SRL, Epson Corporation, AT & T Inc., Imprint Energy Inc., Adidas AG, Infineon Technologies AG, Shimmer Research Inc., Weartech S.L and Nike Inc. are among the major industry participants in the global wearable electronics market.
Microsoft, LG, Samsung, Epson, Sharp, Jabil and Fitbit are some of the emerging payers in the industry. These players, with their vast distribution capabilities, actively strive to develop innovative and power efficient products to show prominence in the global industry.
Wearable devices form a vital part of the Internet-of-Things (IoT), and are anticipated to have a major influence on the fields of disabilities, fitness, medicine, education, transportation, entertainment and gaming. Prevalent connectivity, miniaturization of electronic sensors and devices, paired with cost reduction, have significantly added to a rapid growth in the number of wearables being abstracted and launched in modern times.
Another visible technology is Platform as a Service (PaaS) which is predominantly used for its scalability, simplicity, and reliability. PaaS offers enormous benefit for companies implementing a micro-services architecture, as PaaS permits for each microservice to be installed and accomplished faster.