Monday, 20 November, 2017

Apple once again leads the wearable market, followed by Xiaomi and Fitbit

Media alert: Apple retakes the lead in the wearable band market in Q3 2017 | Canalys Not Everyone's Going for This Hyped New Feature on Apple Watch Series 3
Theresa Hayes | 15 November, 2017, 00:55

The numbers for Q3 2017 suggest that Apple shipped 3.9 million units of the Apple Watch, which is the company's strongest quarter ever for the Watch. Huawei is in fourth place, but its share of 6% means it's unlikely to pose a threat to the top three in the near future. "Apple and Samsung are increasing user stickiness and brand loyalty by adopting an ecosystem strategy, which includes wearables and audio accessories".

China's Xiaomi, which was the No. 1 vendor in the second quarter, fell to the No. 2 spot with 3.6 million units, while Fitbit (NYSE: FIT) came in at No. 3 with 3.5 million units shipped.

After a short disruption by Xiaomi, Apple Inc.

Apple saw strong interest in its updated Apple Watch Series 3 smartwatch in the third quarter, but most buyers opted for models without the most-touted new feature: cellular connectivity.

But wireless carriers may have underestimated demand and the LTE-capable model could prove more popular in coming quarters, Canalys analyst Jason Low said.

Apple Watch Series 3 launched at the end of September.

Offering a "tetherless" experience along with highlighting the health features of the app has surely worked in favor of the US firm. Tim Cook noted that "With unit growth of over 50% for the third consecutive quarter, it continues to be the best selling and most loved smartwatch in the world". However, some of the markets got the LTE variant as well. About 800,000 of the shipments were Apple Watch Series 3 with LTE capabilities. The Chinese government has now disabled the Apple Watch LTE access due to apparent security concerns, but the once the issue is resolved, Canalys expects strong demand from the Chinese buyers as well, according to 9to5mac.

Apple's wearable division has enjoyed something of a renaissance this year, grabbing the top spot in Q1 for overall wearables the first time since Q3 2015. Year to date, the stock is up over 49%, while in the last one-month, it is up over 10%.