The worldwide smartwatch market witnessed a decline in shipment volumes in the third quarter, falling 51.6 percent from the year before to USD 2.7 million, according to data from IDC. The report noted that Apple’s Watch became widely available last year. By comparison, the second generation Apple Watch only became available in the last two weeks of Q3 2016.
IDC also attributed the sharp decline to the way platforms and vendors are realigning, with models not ready for launch in the quarter . Apple revealed a new look and feel to watchOS that did not arrive until the launch of the second generation watch at the end of September. Google’s decision to hold back Android Wear 2.0 has repercussions for its OEM partners as to whether to launch devices before or after the holidays. Samsung’s Gear S3, announced at IFA in September, has yet to be released. Collectively, this left vendors relying on older, aging devices to satisfy customers."
Apple kept it top position though it posted the second largest year-over-year decline among leading vendors. The company shipped 1.1 million smartwatches, and took a market share of 41.3 percent, against shipments of 3.9 million and market share of 70.2 percent the year before.
Garmin, in second position, had the largest year-over-year increase, thanks to its growing list of ConnectIQ-enabled smartwatches and the addition of the fenix Chronos. It shipped 0.6 million smartwatches (0.1 million in 2015) and grew its market share to 20.5 percent from 2.3 percent.
Samsung came third with shipments unchanged at 0.4 million and its market share lifting to 14.4 percent from 6.4 percent.
Lenovo (Motorola) suffered the largest year-over-year decline among the leading vendors, with multiple channels selling out of Moto 360 devices. In addition, the quarter marks the first time in which Motorola did not introduce a new smartwatch in time for the holiday quarter. Shipments fell to 0.1 million from 0.3, while its market share declined to 3.4 percent from 6.2 percent.
Pebble shipments went to 0.1 million from 0.2 million, with its market share stable at 3.2 percent from 3.3 percent..
