“Wearable Electronics – Global Market Trajectory & Analytics”. The report presents fresh perspectives on opportunities and challenges in a significantly transformed post-COVID-19 marketplace.
Wearable technology primarily involves sensor-integrated textiles and devices. The concept of wearable electronics originates in a device that congregates several computing needs in a single wearable gadget, such as a wrist worn activity tracker, smart eyewear, or even smart textiles. Though wearable products have been around for the past four decades, the emergence of smartphones and wireless technology has brought in a new era for connected or smart wearable electronics, thus making science fiction into a reality. Amid the COVID-19 crisis, the global market for Wearable Electronics estimated at US$35.7 Billion in the year 2022, is projected to reach a revised size of US$82.2 Billion by 2026, registering a compounded annual growth rate (CAGR) of 23.4% over the analysis period. The United States represents the largest regional market for Wearable Electronics, and is projected to reach US$28.9 Billion by 2026. China is expected to spearhead growth and emerge as the fastest growing regional market with a CAGR of 26.4% over the analysis period.
Riding high on progressive technology advancements and innovations, the wearable technology has evolved into one of the primary segments within the world electronics industry. Wearable electronics market continues to grow led by the growing adoption of wearables in varied application markets. The expanding Internet penetration rates, increase mobile subscriber base and growing adoption of digital technologies are all favoring growth. The market is also benefiting from the growing integration of advanced technologies such as AI and VR into wearable devices. With an appropriate mobile app ecosystem being developed for wearable devices, consumers are displaying greater preference for such devices. Growth in smartphone users and increasing availability of apps compatible with wearables are also fostering growth. Rising consumer preference for connected digital devices and rapid growth of IoT also present growth opportunities. While the impact of wearable technology is expected to be felt the most by the fitness and healthcare sectors, wearables also hold the potential of greatly influencing the gaming and entertainment industry. Integration of wearable technology with augmented reality is expected to result in creating a much more immersive and realistic real-time environment. Growing adoption of smartwatches, smart bands and HMDs are leading to high demand for less power using and high performance electronics. This is leading manufacturers of wearable electronics to use low power consuming components that can enhance performance of the wearable devices. Advancements in embedded technologies are leading to the development of small form factor, rugged, and ergonomic devices with extended battery life. These developments along with progress in the areas of artificial intelligence and IoT are favoring growth in the wearable electronics market.
North America, being the hub of technology advancements, is witnessing high demand for advanced wearable technologies. Rising disposable incomes and development of advanced devices is fueling market growth. Increasing investments being made by sports associations in technologies to prevent injuries to professional athletes and enhance their performance are leading to growth in wearable electronics market. Increased level of Internet access, high broadband penetration, rising penetration and usage of smartphones, tablets and other such devices, and replacement of traditional televisions with smart TVs are likely to boost market for wearables in the Asia-Pacific as well as other developing regions. The market for Wristwear is expected to emerge as the major product segment over the analysis period. With some of the leading industry players launching new and advanced products with better features and functionalities in view of the growing customer focus on fitness and healthcare, the market for wristwear is expected to make strong gains in the coming years. A variety of products such as smartwatches, fitness bands, and smart bands, are gaining popularity among consumers. In particular smartwatches are growing in popularity as they allow individuals to gain access to mobile services. Growing health consciousness of consumers is leading to high demand for time efficient and cost effective solutions, thus fueling growth in the wristwear market.