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Fitness Wearables Will Bounce Back From Smartwatch Threat, Says Gartner

By |January 16th, 2015|Fitness Bands, RESEARCH & DEVELOPMENT|

What’s the short term trajectory for fitness wearables? DOWN.

    Analyst Gartner is projecting a dip in overall shipments next year, owing to overlapping functionality between different types of fitness wearables and because smartwatches are eating into their functionality (while also offering more in the way of communications features).

But the analyst expects the fitness wearables category to bounce back in 2016 because of better, more versatile designs and lower cost displays. In other words, fitness devices are going to up their game.

In a global forecast on fitness wearables, the analyst projects shipments will reach 68.1 million units in 2015, down from 70 million in 2014, as a larger proportion of buyers opt for smartwatches instead (it estimates that half of people considering buying a smart wristband will purchase a smartwatch instead next year — which is, of course, when Apple is expected to launch into the space). But by 2016 it sees shipments bouncing back — to total 91.3 million units.

Gartner segments the fitness wearables category into five main form factors: smart wristbands, sports watches, other fitness monitors, heart rate monitor chest straps, and smart garments.

While smart wristbands and other fitness monitors are currently the most popular form factors, the analyst identifies the latter emergent category as having the “greatest potential for growth” being as it’s emerging from the testing phase.

It’s projecting shipments here will grow from practically nothing (0.1 million units) in 2014, to 26 million in 2016.

Gartner adds that it expects continued overlap in functionality between smart wrist bands and smartwatches, but sees fitness bands and other fitness monitors carving out a non-retail niche in the future — by being increasingly offered by gyms, wellness providers, insurance providers, weight loss clinics and employers, sometimes at subsidized prices or for free.

It said it expects a quarter of these fitness devices to be sold through non-retail channels between 2018 and 2020.

These companies will serve as a growing distribution channel for device manufactur

ers,” it adds.

“The new channels also result from fitness monitors being integrated into employee badges or identification bracelets for access control. Business-to-consumer companies will have rewards or gamification linked to the use of wearables as a way of keeping customers engaged with their brands.”

A key driver for fitness wearables to continue to proliferate, according to Gartner, are the big funding initiatives from the likes of Apple (HealthKit), Google (Google Fit), Samsung (S.A.M.I.), and others, which will allow consumers to integrate data from multiple wearables into a single account where it can be analyzed and yield useful insights for the wearer.

 TCWearablesHealthGadgets

The Wearables Report: Growth Trends, Consumer Attitudes, and Why Smartwatches Will Thrive (sample)

By |December 1st, 2014|Consumer Wearables, Forecasts (In-Depth), Market Data, REPORTS & ANALYSIS, RESEARCH & DEVELOPMENT|

Wearables face unique obstacles that will lead them to have less of an immediate market impact compared with tablets and smartphones. For now, most of the devices need to connect with a smartphone or tablet for most of their functionality. 

 

Wearables also suffer from a perception problem.


Consumers still don’t understand how a wearable might really benefit them. In a recent report on the wearable computing market from BI Intelligence, we also discuss other barriers to adoption, including price, lack of functionality, and style.

Wearables Scrutinized Over The Long Term


We also look at how how the wearables market will perform in the long run.  We forecast out shipments numbers, explain why the smartwatch will be the leading wearable device category going forward, and analyze proprietary results from our BI Intelligence consumer survey on smartwatch purchase intent.

Access The Full Report And Data by Signing Up For A Trial Today >>

Here are some key points from the report:


Wearables will see plenty of growth.

We estimate the global wearables market will grow at a compound annual rate of 35% over the next five years,
reaching 148 million units shipped annually in 2019, up from 33 million units shipped this year. 

The smartwatch will be the leading product category and take an increasingly large share of wearable shipments

We estimate smartwatch shipments will rise by a compound annual rate of 41% over the next five years.
Smartwatches will account for 59% of total wearable device shipments this year, and that share will expand to just over 70% of shipments by 2019

The Apple Watch will kick-start growth in the overall smartwatch market.

The Apple Watch will account for 40% of smartwatch shipments in 2015 and reach a peak 48% share in 2017.

Fitness bands and miscellaneous wearable device types, like smart eyewear, will continue to cater to niche audiences.

Fitness bands, because of their appeal to niche audiences interested in health and exercise, will see their share of the wearable device market contract
to a 20% share in 2019, down from 36% this year. There will be some blur between fitness bands and smartwatches.

Now that both Apple and Google are in the smartwatch market, they will dominate, much as they have in the smartphone and tablet markets.

Because these platforms make up over 90% of the entire mobile platform market, many mobile users interested in wearable devices
will gravitate toward Apple Watches and Android Wear-based devices.


 

Smartwatches in particular must become standalone computing devices with more robust functionality.
Barriers still persist, and these will inhibit consumer wearables adoption and usage for the devices to become mainstream. Other barriers include small screen size, clunky style, limited battery life, and lack of a “killer app” that can drive adoption.

In full, the report:

  1. Forecasts annual shipments of wearable computing devices between 2014 and 2019.
  2. Breaks down wearable computing device shipments by device category, including smartwatches, fitness bands, and other wearables like Google Glass.
  3. Reveals and analyzes BI Intelligence smartwatch consumer survey results.
  4. Discusses barriers to mainstream adoption including style limited functionality, and lack of a killer app ecosystem.
  5. Looks at the potential for Apple and Google to dominate with Apple Watch and Android Wear.

For full access to all BI Intelligence’s charts, data, and analysis on the mobile and Internet of Things industry, sign up for a two-week trial.

Business Insider…Continue Reading…

Survey by BI, Indicates the SmartWatch Market to be Small

By |December 1st, 2014|Outside Sources*, REPORTS & ANALYSIS, RESEARCH & DEVELOPMENT, Surveys & Articles|

A global survey BI Intelligence conducted among Business Insider readers during October 2014 illustrates what consumers are looking for in a smartwatch, and whether they intend to purchase one. We generated over 2,000 responses from Business Insider readers, who tend to be young, affluent professionals — ostensibly the target market for a smartwatch.

Will people buy smartwatches?
What is it about smartwatches that interest them?

Here are the main takeaways:



  • The smartwatch only appeals to a minority of possible purchasers.

    Of 1,678 respondents who said they planned to buy a new phone in the next six months, just one-fifth said they are interested in buying a smartwatch to pair with their phone.

  • Apple has done a better job than competitors selling the smartwatch.
    Prospective iPhone buyers were significantly more interested in a companion watch than likely Android purchasers. About 31% of those who said they would buy an iPhone in the next six months plan to buy a smartwatch, more than double the proportion among those buying Android phones.
  • These are the top use cases among likely purchasers:
    Almost 40% of nearly 400 likely smartwatch buyers told us that the most important benefit of the device is its ability to funnel phone notifications, information, and other content if users happen to be away from their smartphone. Another one-fourth of our respondents said they already wear a watch and the added functionality of a connected watch appeals to them. Health- and fitness-tracking was another popular reason.
  • But there is no killer app, and hence most people don’t see the point.
    Overall a majority of people still don’t see the point of these devices. This is the reason 51% of those uninterested in smartwatches gave us for why they wouldn’t buy the device. At a distant second, 13% of respondents said they just didn’t like wearing a watch. Until consumers see a clear reason why smartwatches will improve their lives and productivity, the smartwatch category will remain small.


For a full smartwatch survey data and analysis on the wearable computing
and smartwatch markets,
 
sign up for a trial membership today.

 

Of course, the next six months could bring about new applications for smartwatches generally and the Apple Watch in particular, but the data shows that the smartwatch still has a long way to go before it is seen as an essential consumer electronics device.

http://www.businessinsider.com.au/wearable-smartwatch-market-report-2014-11

Processing, Sensing, Communications Semiconductor device portion of the IoT = Set for Rapid Growth

By |November 12th, 2014|Charts & Graphs, Forecasts (In-Depth), Market Data, Outside Sources*, REPORTS & ANALYSIS, RESEARCH & DEVELOPMENT|

Gartner Says the Processing, Sensing and Communications Semiconductor Device Portion of the IoT Is Set for Rapid Growth

Automotive, LED Lighting and Home Consumer Segments to Drive a Huge Portion of Overall Semiconductor Growth Through 2020

The processing, sensing and communications semiconductor device portion of the Internet of Things (IoT) will be a rapidly growing segment of the total semiconductor market, growing 36.2 percent in 2015, compared with the overall semiconductor market growth of 5.7 percent, according to Gartner, Inc. Processing will be the largest revenue contributor to the IoT “things” semiconductor device forecast, at $7.58 billion in 2015, while sensors will see the strongest growth, with 47.5 percent growth in 2015.

The processing semiconductor device segment consists of microcontrollers and embedded processors, while the sensing semiconductor segment includes optical and nonoptical sensors.

“The demand for billions of things will ripple throughout the entire value chain, from software and services to semiconductor devices,” said Alfonso Velosa, research director at Gartner. “These ‘things’ will drive huge demand for individual chips. IoT semiconductor growth will come from industries spanning consumer, industrial, medical, automotive and others.” (see Figure 1)

Figure 1. IoT Semiconductor Revenue by Electronic Equipment (Millions of Dollars)

Source: Gartner (October 2014)

Gartner’s forecast for the top 15 things, based on semiconductor revenue, highlights some very interesting trends:

  • The automotive industry plays a huge role in the semiconductor demand from things through the end of the decade, with six segments in the top 15. Regulations for safety and a need for convenience and more autonomous vehicles are driving tremendous demand for new semiconductor devices silicon in the car. One example of how the IoT will transform an automobile is the use of predictive maintenance. Using small sensors throughout the engine, predictive maintenance allows for a better experience for the consumer while enabling tremendous cost savings for both the consumer and the automotive dealer.
  • LED lighting will be a huge volume play, both in lowering costs and enabling new services through its capability to connect, network and sense the environment.
  • Consumers looking to enhance their lifestyles will also play a central role in growing IoT demand, which in turn will create more demand for semiconductors. The smart TV and set-top box (STB) revenue will continue to grow, due to the increased need for processing and relatively expensive bill of materials (BOM) compared with a traditional embedded “thing”.
  • Smart glasses and smartwatches also benefit from a larger BOM cost and will be in more demand as wearables become a bigger part of every consumer’s life. Energy savings has always been a real value-add for the IoT.

“Gartner forecasts almost 30 percent growth through 2020 for IoT semiconductor revenue,” said Dean Freeman, research vice president at Gartner. “This revenue spans every conceivable industry and is driven by the immense scale of low-cost devices. Some in the industry believe this growth will transform the semiconductor industry. However, further investigation shows that the majority of IoT devices are commodity offerings. The truth is that inexpensive devices are one of the biggest enablers of IoT.”

More detailed analysis is available in the report “Forecast Analysis: IoT Endpoints — Sensing, Processing and Communications Semiconductors, Worldwide, 2014 Update.” The report is available on Gartner’s website at http://www.gartner.com/document/2884217.

Analysts will unveil the new Gartner IoT forecast at the Gartner Symposium/ITxpo 2014, November 9-13 in Barcelona, Spain. For more information about the conference please visit www.gartnerevent.com/eu/sym. Press can register by contacting Laurence Goasduff at laurence.goasduff@gartner.com.

NPD predicts wearable device hype will quickly cool off by 2016

By |November 12th, 2014|Forecasts (In-Depth), Outside Sources*, REPORTS & ANALYSIS, RESEARCH & DEVELOPMENT, Statistics & Chartables, Uncategorized|

While wearable devices are the tech industry’s most hyped category for 2014, market researchers at the NPD Group predict that the market will begin to slow down quickly, contracting by 2016 before returning to more moderate growth.

Wearable devices first began to take off in 2013 with the popularity of the Pebble smart watch and various tiny fitness and health trackers. NPD believes that the market will grow to 48 million units sold this year, and will surge to 91 million units in 2015.

However, in 2016 NPD believes that the market could actually begin to slow down after the hype around wearables begins to die. In its long-term forecasts, the market will again return to growth by 2018, but at a slower rate than the current explosion.

“We expect that the dynamics of the wearables market will be similar to DVD, LCD TV, smartphones, and other digital consumer markets with commoditized hardware,” according to Paul Gray, director of European TV research for NPD DisplaySearch. “The arrival of Samsung, LGE, and other large, cost-efficient manufacturers to the wearables market would bring prices and margins down.”

For its forecast, NPD has predicted three possible outcomes for wearable device growth: the bearish “forward into the past” scenario, a middle-ground “incidental to essential” scenario, and finally the bullish “persuasive and pervasive” outcome.

Steel

For the so-called “forward into the past” outcome, NPD sees wealthy early adopters being the first owners and reinforcing the desirability of wearable devices. This appeal would eventually trickle down to lower ends of the market as prices drop, but NPD sees the market shrinking dramatically as the fashionability of wearable devices fades.

NPD’s second outcome, the “incidental to essential” scenario, sees wearable devices becoming essential due to their intrinsic usefulness. In this situation, NPD compared the combinations of devices and services to Apple’s iTunes, as something that could “lock in” users to a certain wearable platform.

NPD still believes a “fashion effect” will lead to a slight decline, but in major markets such as North America and Europe, it projects that the “essential” nature of wearables and tightly connected ecosystems would lead strong brands to bundle devices and see a more moderate decline.

FuelBand

The third and final scenario presented by NPD, “persuasive and pervasive,” is the most bullish forecast offered by the research group. In this situation, wearable devices offer significant health benefits and body sensing becomes a critical part of everyday life, allowing users to detect medical issues, securely identify themselves, and more.

These strengths could lead private and public healthcare providers to recommend wearable devices to their patients. The health benefits would offset any effects from fashion and hype, and NPD believes sales could plateau in 2016 rather than decline.

Recent rumors have suggested Apple will join the list of electronics makers who are attempting to cash in on the consumer hype for wearable devices. The company has hired something of a “dream team” of experts from the fashion, fitness and medicine fields, leading many to speculate that the company will debut a so-called “iWatch” later this year.

Gartner Says By 2017, 50 Percent of Internet of Things Solutions Will Originate in Startups That Are Less Than Three Years Old

By |November 12th, 2014|Forecasts (In-Depth), Market Data, Outside Sources*, REPORTS & ANALYSIS, RESEARCH & DEVELOPMENT, StartUps|

Analysts Explore Major Business and Technology Trends at Gartner Symposium/ITxpo 2014 in Orlando

Gartner’s Maverick Research Sparks New, Unconventional Insights

Makers and startups, not tech providers, consumer goods companies or enterprises, will drive acceptance, use and growth in the Internet of Things (IoT) through the creation of a multitude of niche applications, according to Gartner, Inc. Gartner predicts that by 2017, 50 percent of IoT solutions (typically a product combined with a service) will originate in startups that are less than three years old.

Gartner defines “makers” as inventors, tinkerers and entrepreneurs who create and manufacture products using traditional tools and new digital design and rapid prototyping and manufacturing technologies. “Startups” are fledgling businesses that are often technology-focused and have the potential for high growth.

“Conventional wisdom is that the growth of the Internet of Things is driven by large enterprises. As is always the case, there is an element of truth in conventional wisdom and major consumer goods companies, utilities, manufacturers and other large enterprises are, indeed, developing IoT product offerings,” said Pete Basiliere, research vice president at Gartner. “However Gartner’s Maverick research finds that it is the makers and the startups who are the ones shaping the IoT. Individuals and small companies that span the globe are developing IoT solutions to real-world, often niche problems. They are taking advantage of low-cost electronics, traditional manufacturing and 3D printing tools, and open- and closed-source hardware and software to create IoT devices that improve processes and lives.”

Gartner analysts unveiled these findings at the sold out Gartner Symposium/ITxpo, which is taking place here through today.

Gartner’s Maverick research is designed to spark new, unconventional insights. Maverick research is unconstrained by Gartner’s typical broad consensus-formation process to deliver breakthrough, innovative and disruptive ideas from the company’s research incubator to help organizations get ahead of the mainstream and take advantage of trends and insights that could impact IT strategy and the wider organization.

“Managers often assume the IoT is about business-to-business and business-to-consumer opportunities, relying on technologists within their enterprises to develop the necessary systems and connected items. However, these firms are slow-moving elephants that cannot react quickly to what is happening underneath their feet,” said Mr. Basiliere. “Product development processes within most large enterprises are too ponderous and ROI-driven to produce anything but high-volume, lowest-common-denominator IoT objects. The result is the development of a low number of IoT uses that garner high amounts of revenue, while makers, startups and crowdsourcing efforts result in high numbers of low-revenue niche IoT applications.”

For this reason, senior management and emerging technology strategists within large enterprises must transform their product discovery processes. Whether at consumer goods companies or in the healthcare, utilities, wireless, manufacturing or other vertical markets, managers must encourage makers within their organizations to develop IoT concepts. They must closely examine the output from these makers and check the feasibility of transferring the underlying ideas into their own organizations.

“Innovation is necessary for an organization to sustain value over time and create competitive advantage. Yet in many organizations, the corporate culture and processes stagnate and harden, discouraging innovation as a result,” said Mr. Basiliere. “In the meantime, makers and startups worldwide are charging ahead with identifying numerous, often niche problems and innovating solutions using IoT concepts. They will drive not only consumer and enterprise acceptance of the IoT, but also the creative solutions that enterprises could not possibly discern, resulting in an “Internet of Very Different Things.”

Mr. Basiliere cited the example of entrepreneurs and individuals who are leveraging the low-cost Arduino open-source electronics platform, entry-level 3D printers, and traditional woodworking and machine tools to build their own IoT devices. Gartner has found that these grassroots projects focus on managing and controlling devices in the home and are more focused on providing convenience (such as turning on the heat before you arrive home) than cost savings (the focus of enterprise-sector and public-sector IoT).

Similar to other technology advances historically, the growth promise associated with the early stages of IoT will lead to the creation and funding of a large number of startup organizations that will maneuver to capture what they perceive to be early opportunities or overlooked product niches. This will lead to creative solutions and a wide range of products, many of which will fail in the market. Nevertheless, the process will lead to growth as the successful solutions are often consolidated by larger suppliers, and the overall market expands. As a result, makers enable people in underserved and niche markets worldwide — people who would not otherwise encounter the IoT offerings of large enterprises — to experience and benefit from connected device.

“It won’t all be smooth sailing. Certainly there is no small number of factors working against makers and startups, whether they have an IoT offering or a more traditional product or service,” said Mr. Basiliere. “Most small businesses fail within five years, and many of the ‘successful’ ones will be lifestyle companies that barely generate enough revenue to support an individual or family.”

About Gartner

Gartner, Inc. (NYSE: IT) is the world’s leading information technology research and advisory company. We deliver the technology-related insight necessary for our clients to make the right decisions, every day. From CIOs and senior IT leaders in corporations and government agencies, to business leaders in high-tech and telecom enterprises and professional services firms, to technology investors, we are the valuable partner to clients in over 9,000 distinct enterprises worldwide. Through the resources of Gartner Research, Gartner Executive Programs, Gartner Consulting and Gartner Events, Gartner works with every client to research, analyze and interpret the business of IT within the context of their individual role. Founded in 1979, Gartner is headquartered in Stamford, Connecticut, USA, and has 6,400 associates, including more than 1,480 research analysts and consultants, and clients in 85 countries. For more information, visit www.gartner.com.

Worldwide Smartwatch and Wristband Market Is Poised for Take Off [Gartner.com]

By |November 12th, 2014|Forecasts (In-Depth), Outside Sources*, REPORTS & ANALYSIS, RESEARCH & DEVELOPMENT|

Gartner says Worldwide Smartwatch and Wristband Market Is Poised for Take Off

By 2015, Android-Based Smartwatches Will Drop to $30 Retail Price as Chinese OEMs and
ODMs Capture the Consumer Mass Market in China and Internationally

As smartphone vendors and component suppliers continue to expand into the wearables market, Gartner, Inc. predicts that by 2016 smartwatches will comprise about 40 percent of consumer wristworn devices. Gartner said that nine out of the top 10 smartphone vendors have entered the wearables market to date or are about to ship a first product, while a year ago only two vendors were in that space.

“Apple has finally unveiled its Apple Watch, which we expect to trigger more consumer interest once it starts shipping in 2015,” said Angela McIntyre, research director at Gartner. “Apple introduced three smartwatch models that will sell at a wide price range, with the lowest starting at $349. As with the iPhone, Apple’s high-price strategy for the Watch will limit its market share; yet, with its attention to design and the user interface, we believe this product will attract many users.”

“The Sony Smartwatch products and the Samsung Gear were early products that received much attention in the press but less enthusiasm from consumers due to their unclear value proposition and flawed design,” said Annette Zimmermann, research director at Gartner. “In 2014 we are seeing a few more positive developments in terms of design and user experience (UX) and we therefore expect consumers to show more interest in these products in the second half of the year.”

Ms. Zimmermann said that the latest smartwatches show much improvement in design compared with earlier smartwatches as well as providing an idea of the features that Android Wear brings to the user, including voice search, turn-by-turn navigation, contextual reminders and taking notes via voice input — basically a Google Now experience on a smaller screen.

A recent consumer study conducted by Gartner at the beginning of the third quarter of 2014 gave some indication of the current installed base of fitness wearables and dedicated sports watches. The results showed that fitness wristbands and “other fitness trackers” combined are already represented in more U.S. households than sports watches. Sports watches, such as dedicated running watches, have been around for many years, but such products are not for everyone and hence do not have mass market appeal. Gartner expects this trend to continue in the next few years as fitness wearables proliferate.

There is still a lot of room for growth and the trend around the “quantified self” will drive adoption of these devices over the next few years. However, despite the growing interest from the market, there are several hurdles that still need to be overcome and that vendors need to consider in their products.

In recent tests, different models of smartwatches and fitness wristbands reduced the battery life of the connected smartphone. Depending on the product and the phone this was in the range of two to eight hours of reduced usage time. Having the smartphone run for only half a day until it needs a new charge is not ideal and this is likely to put off most users who use smartphones without an exchangeable battery.

Of the devices that were tested, the battery life could last up to five or six days. However, as consumers add more devices to their households the number of gadgets that need to be charged is expected to reach a point where it becomes a burden for the consumer. Here the discussion arises again of the trade-off between design and usability — a more efficient battery would likely not allow for a light and sleek design — and yet a desirable feature for a smartwatch would be a battery that lasts for several months.

“We are currently seeing two opposing trends in the market with regards to form factor evolution. On the one hand there are vendors offering smart wrist-wearables in a familiar watch-like form factor,” said Ms. Zimmermann. “On the other hand in the past six to nine months, we have seen vendors launching products that resemble the early fitness wristbands, but come with displays that add significant functionality, including message and call alerts. These cross-over products are generally marketed as fitness devices, but with the strong slant toward the communication aspect.”

In addition to the established vendors, original design manufacturers (ODMs) and semiconductor vendors in China are ready to take on the next generation of consumer. There are a growing number of local Chinese vendors that have launched fitness wrist bands, putting pressure on established players such as Fitbit and Jawbone. Although these vendors currently have a primarily local market focus they will eventually turn to international expansion.

“Products and offerings among Chinese vendors are similar to those of other vendors with a variety of form factors, operating systems, connectivity and sensor options,” said Ms. McIntyre. “International expansion will start to accelerate in 2015 and in this context we expect several Chinese vendors to build on Android Wear in parallel to create more appeal. Certainly, they are faced with the same hurdles regarding design as all international vendors, but we also expect them to leverage one thing that has been to their constant advantage in the smartphone and tablet market: the cost advantage of the Chinese supply chain ecosystem. Chinese vendors might be able to bring Android Wear-based smartwatches to very affordable price points below $150 with decent designs and sensors — driving mass-market adoption in mature markets.”

Additional information is available in the report “Competitive Landscape: Smartwatches and Smart Wristbands, Worldwide, 2014.”

The report can be found at http://www.gartner.com/document/2847117.

Future trends in mobile devices will be discussed further at Gartner Symposium/ITxpo 2014, October 5-9 in Orlando.
More information on the event is available at www.gartner.com/us/symposium. Members of the media can register for the event by contacting Christy Pettey at christy.pettey@gartner.com.

About Gartner Symposium/ITxpo

Gartner Symposium/ITxpo is the world’s most important gathering of CIOs and other senior IT executives. This event delivers independent and objective content with the authority of the world’s leading IT research and advisory organization, and provides access to the latest solutions from key technology providers. Gartner’s annual Symposium/ITxpo events are key components of attendees’ annual planning efforts. IT executives rely on these events to gain insight into how their organizations can use IT to overcome business challenges and improve operational efficiency.

Upcoming dates and locations for Gartner Symposium/ITxpo 2014 include:

About Gartner

Gartner, Inc. (NYSE: IT) is the world’s leading information technology research and advisory company. We deliver the technology-related insight necessary for our clients to make the right decisions, every day. From CIOs and senior IT leaders in corporations and government agencies, to business leaders in high-tech and telecom enterprises and professional services firms, to technology investors, we are the valuable partner to clients in over 9,000 distinct enterprises worldwide. Through the resources of Gartner Research, Gartner Executive Programs, Gartner Consulting and Gartner Events, Gartner works with every client to research, analyze and interpret the business of IT within the context of their individual role. Founded in 1979, Gartner is headquartered in Stamford, Connecticut, USA, and has 6,400 associates, including more than 1,480 research analysts and consultants, and clients in 85 countries. For more information, visit www.gartner.com.

Apple Watch expected to galvanise wearable technology

By |November 9th, 2014|Apple, Outside Sources*, REPORTS & ANALYSIS, RESEARCH & DEVELOPMENT, Sample Reports, Statistics & Chartables|

Wearable Technology Show

A report from Juniper Research has revealed that the global retail revenue from smart wearable devices will treble by 2016, before reaching $53.2 billion by 2019.

It says that the market will be driven by an increase in sales of premium smart watches and smart glasses over the next five years.

The extensive new report – Smart Wearable Devices: Fitness, Glasses, Watches, Multimedia, Clothing, Jewellery, Healthcare & Enterprise 2014-2019 – asserts that the recent entry of key industry players within the wearables sector has helped fuel an explosion of new devices in this increasingly crowded market. However, it argues that vendors still need to get over the ‘technology first’ attitude and think in terms of consumer benefits for an increased product adoption.

The research observed that consumers are still unsure about the use case for many wearable devices, including watches and glasses. In particular, consumers are hesitant to adopt wearable companion devices with functionality that is very similar to that of smartphones.

Many of the recent developments, and much of the hardware, in the sector have come from start-ups and smaller companies. Key players have begun focusing on platform promotions, such as Google’s Android Wear, Samsung’s SAMI data architecture or Intel’s Edison design platform. This enables them to respond easily to new device developments, rather than developing the devices themselves.

Meanwhile, Juniper anticipates that many of the more advanced technologies for wearables will be developed first for the enterprise and healthcare segments, which have clearer use cases. These segments will drive wearable technology forward, before being adapted for the consumer sector.

Other key findings include:

· Smart watches will replace fitness wearables as the most purchased wearables category by 2017.

· With smartphones increasingly becoming commoditised, wearables will remain companion devices, with many tied to specific operating systems to differentiate offerings.

NextMarket – Forecast: Over 50% of smartwatches shipped in 2014 to run Android acco

By |October 12th, 2014|Forecasts (In-Depth), Market Data, Outside Sources*, REPORTS & ANALYSIS, RESEARCH & DEVELOPMENT, Sample Reports|

Seattle – In 2014, the smartwatch market is expected to grow to 15 million shipments worldwide, up from 5 million shipments in 2013. According to a new report from NextMarket Insights, this strong growth is expected to provide a new market opportunity for Android moving forward, as the mobile operating system is expected to account for 53% of all smartwatches in the coming year.

“Today’s market for smartwatches is a mix of realtime operating systems based on FreeRTOS (such as the Pebble OS and the MetaWatch OS) and Android,” says Chief Analyst, Michael Wolf. “As Samsung enters the market and Google possibly builds upon its acquisition of WIMM, we expect Android-based smartwatches to see significant growth in the coming year.”

As the smartwatch market grows, a new opportunity will arise for app developers for Android and other smartwatch operating systems. Samsung has already began courting app developers for the Android-based Galaxy Gear, and Pebble has built a sizable base of watchface and app developers for the Pebble OS.

“We expect that the number of developers creating for wearables and smartwatches in particular will grow substantially over the next few years,” says Wolf. “Given the oversaturated smartphone app market, we believe that the smartwatch market could provide a new opportunity to develop smartwatch-optimized apps across a number of categories.”

Apple is expected to ship a smartwatch in the next six to twelve months, which will also spur additional interest in the smartwatch category.  By 2017, NextMarket Insights expects iOS to account for a quarter of all smartwatch operating systems.

The report, Smartwatch Forecast 2013-2020, is available today for purchase. A complimentary copy of the report’s executive summary is available  here. 

You can find NextMarket’s smartwatch resource site here

Preparing Wearables in Financial Services Beyond Current Tech

By |September 9th, 2014|Market Data, Outside Sources*, RESEARCH & DEVELOPMENT, Sample Reports|

Preparing for Wearables in Financial Services Beyond Smartwatches and Google Glass

Preparing for Wearables in Financial Services Beyond Smartwatches and Google Glass


A CUSOM REPORT SAMPLE BY: Javelin Strategy & Research Examines Current Wearables Market and How Financial Institutions are Making Strides

San Francisco, CA, July 31, 2014:  Notable financial institutions (FI), technology vendors, and app developers such as Barclays, U.S. Bank, Wells Fargo, Fiserv, and PayPal are experimenting to demonstrate that wearables such as Google Glass and smartwatches can deliver financial alerts, pay for goods and services, and give consumers greater digital control over their finances. Today, Javelin Strategy & Research released Investing in Wearables for Financial Services – Why Now? report, which examines current wearable experiments such as Google Glass, smartwatches, and fitness bands and how FI investment in wearable technology is likely to evolve.

Wearables present an immediate opportunity for FIs that can embrace inevitable experimental setbacks and capitalize on breakthroughs. Javelin views smartwatches as the first wave of financial wearables that can leverage existing adoption. But the bigger, longer-term payoff will come when wearables incorporate advances in speech recognition and augmented reality. For example, 53% of consumers indicate a willingness to use voice banking, a key technology that can be incorporated in wearables that have yet to emerge.

“Platforms succeed when they entice developers to create apps that keep consumers coming back for more. Some developers and financial institutions initially will be satisfied with the softer ROI that can come with being the first to market and establishing a foothold with targeted products and services,” said Mark Schwanhausser, Director, Omnichannel Financial Services at Javelin Strategy & Research. “For FIs, justifying investments for wearables is likely to start with bolstering a tech-savvy brand image that can attract customers. But larger, sustained investments will require evidence that wearables are pervasive enough to result in cost savings and revenue.”

Learn More: Investing in Wearables for Financial Services – Why Now?

The report examines current wearables experiments such as Google Glass, smartwatches, and fitness bands; how wearable technology is likely to evolve and why; and five conditions that must be true for wearables to become pervasive. In addition, the report outlines the short- and long-term return on investment (ROI) for wearable investments, and prescribes ways financial services innovators can invest now to lead the way.

 

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About Javelin Strategy & Research
Javelin Strategy & Research, a Greenwich Associates LLC company, provides strategic insights into customer transactions, increasing sustainable profits for financial institutions, government, payments companies, merchants and other technology providers. Javelin’s independent insights result from a uniquely rigorous three-dimensional research process that assesses customers, providers, and the transactions ecosystem.

via Javelin Strategy – Preparing for Wearables in Financial Services Beyond Smartwatches and Google Glass.