Wearable Electronics Market worth $8.36 Billion By 2018
According to a new market research report “Wearable Electronics Market and Technology Analysis (2013 – 2018): By Components (Sensors, Battery, Display, Networking); Applications (Consumer, Healthcare, Enterprise); Products (Smart -Textiles, Glasses, Watches);e-Materials and Geography”, the global wearable electronics market revenue is expected to cross $8 billion, and the total unit shipment is expected to cross 130 million units globally, by 2018.
Wearable Electronics, often also referred as wearable computing or wearable technology, is the most buzzing next-generation aspect in the consumer electronic and computing technology industry in the current scenario. It is expected to be the next big thing in the field of computing, with a new generation of electronic gadgets creating a wave similar to that created by the global smartphone revolution. As such, it comes as no surprise that increasing number of technology giants are betting high on wearable products and devices.
The field of wearable technology includes several products such as smart glasses/goggles, ring/finger worn scanners, foot-wear such as athletic, fitness & sports shoes, wrist-wear such as advanced electronic watches and wrist-bands, and others (such as head-bands and neck-wear) along with the upcoming “smart textiles” and the yet to commercialize (expected in 2016) “e-textiles”.
The global wearable electronics market was worth more than $2.5 billion in revenue in 2012 and is expected to cross $8 billion in 2018, growing at a healthy CAGR of 17.7% from 2013 to 2018. In terms of products, wrist-wear accounted for the largest market revenue in 2012, with total revenue of the most established wearable electronic products – wrist-watches and wrist-bands combined, crossing $850 million.
Among application sectors, consumer applications accounted for the largest market share, with revenue crossing $2 billion, as of 2012. However, that of enterprise and industrial applications is expected to grow at the highest CAGR (more than 21%), during the forecast period of 2013 to 2018.
The global wearable technology ecosystem’s value was estimated to more than $4 billion as of 2012, and is expected to reach cross $14 billion by 2018, growing at a CAGR more than 18% from 2013 to 2018. The total addressable market (TAM) for wearable technology is estimated to be more than $14 billion, as of 2012, and the current level of penetration for wearable technology was estimated to be roughly 18%. This market penetration rate of wearable technology is expected to accelerate (increasing rate of penetration every year) over the next five years, reaching roughly 46% penetration level in the TAM, by 2018.
The global wearable electronic textiles market is expected to grow faster than that of the overall wearable electronics market, with increasing demand and growing consumer adoption for wearable electronic smart-textiles, along with expected commercialization of more advanced – wearable electronic e-textiles by 2016.
The market of electrical and electronic components for wearable electronic products is also expanding rapidly, as the market value of components amounts to roughly 66% of that of products. With dynamically changing landscape for components in wearable electronics, the global wearable electronic components market is expected to cross $6 billion by 2018, offering huge revenue potential for key electronic component manufacturers focusing on this field.
The research report, based on an extensive research study on the wearable electronics market, and its entire ecosystem, describes the market trends, drivers, restraints and opportunities of the wearable electronics market and forecasts the market and all its sub-segments to 2018, in terms of both – revenue and shipments. The overall market statistics are segmented on basis of technology, components, form-factor, products application, industry verticals and geography.
This global report gives a bird’s eye-view of the market across geographies – North America, Europe, Asia-Pacific, and ROW (Rest of the World). North America is the largest geography in terms of wearable electronics unit shipments and market revenue. APAC has been identified as the fastest growing region, with China leading the way. Europe and ROW are also promising markets, with Germany and the U.K. in Europe, and the Middle-East and Latin America in ROW providing impetus to the growth.
The report profiles 23 promising players in the wearable technology market ecosystem and also includes market share analysis (with estimated market shares and rankings) for each of the product categories in this market. The detailed competitive landscape of the market included presents a very interesting picture, where large number of small players has become a force to reckon with. The market is witnessing a series of new product launch and announcement and partnership across the value chain. Some big announcements by small and big players alike are expected in the coming months.
Some of the key players in the wearable electronics market include Adidas AG (Germany), Fitbit, Inc. (U.S.), Fibretronic Ltd. (U.K.), Google, Inc. (U.S.), Jawbone, Inc. (U.S.), Nike, Inc. (U.S.), Olympus Corporation (U.S.), Recon Instruments, Inc. (Canada), Vuzix Corporation (U.S.), and Weartech s.l (Spain) among others.