A new report says that global smartwatch shipments increased in 2Q22. This is despite skepticism by analysts due to inflation and geopolitical uncertainties. As shipments increased, the report says that Apple Watch took the most number of shipments in the quarter.
Global Smartwatch Shipment Increases by 13%, Apple Watch Shipment by 8%
Based on the latest report by Counterpoint Research, smartwatch market tracker, global smartwatch shipments increased by 13% year-over-year in 2Q22. The same percentage of shipment increases were also noted in 1Q22. Interestingly, analysts predicted three months ago that the smartwatch market would not do well. That was pretty understandable, especially since there were various variables pointing to a downtrend three months ago.
As mentioned, Apple Watch took the number one spot when it came to shipments in the quarter. Apple’s smartwatch shipments grew by 8% year-over-year in 2Q22. Meanwhile, Samsung retained its second spot with 40% year-over-year growth during the quarter. Credit that to the popularity of the Samsung Galaxy Watch 4 series in India and North America.
India Becomes the Second Largest Buyer of Smartwatches
Speaking of India, the report noted that the smartphone market in that country grew by more than 300%. This pushed India into the second spot when it comes to smartphone shipments. The U.S. remained the largest buyer of smartwatches. China, which previously occupied the number two spot, is now the third largest buyer of that category of wearable devices. The economic slowdown China’s been experiencing affected its smartwatch market. Counterpoint Research’s Assistant Director Sujeong Lim pointed out this was an expected slowdown.
The market performed relatively well in the second quarter compared to the downtrend we expected three months ago. However, as expected, China’s economic slowdown resulted in a YoY decline in its market, with major Chinese brands such as Huawei, imoo, and Amazfit seeing limited YoY growth or decline. Nevertheless, given that the smartphone market declined 9% YoY during the same period, we believe that the smartwatch market is on the right track to healthy growth.
Finally, the report also mentioned that although Apple’s smartwatch dominated the market in 2Q22, shipment of the Apple Watch Series 7 started to decline. This could be due to the fact that Apple is set to launch the Apple Watch Series 8. Consumers considering a new Apple Watch probably decided to hold off and wait for Apple’s newer model.
Apple is expected to announce the Apple Watch Series 8 during its Sept. 7 “Far Out” event.