In the technology industry, growth often means … a decline. This is the case with the Cupertino concern and the Apple Watch smartwatch.
For several quarters, the wearables industry was best described by the statement: "It's a business on which everyone loses, except Apple." Although smartwatches and fitness wristbands meet a steady downward trend after a thrilling market entry, the Cupertino giant via his Apple Watch has always found a patent for good earnings . However, it looks like the competition is slowly coming back to the game.
Apparently an increase, yet a decrease
According to a study by Canalys analytical company, in the second quarter of 2018, 10 million 'wearables' were sold in the world, an increase of around 2 million items compared to previous months. Apple can also enjoy the upswing, as the company sold 30% more of its smartzegers, which resulted in 3.5 million copies of Apple Watch delivered to customers. Paradoxically, however, this result translated into … declines in market share. It turns out that the rest of the producers have also begun to accelerate, thereby reducing Apple's dominance in the market. Tim Cook and the company can boast a market impact of 34%, down 9% compared to the first three months of 2018. It looks like Apple, on the one hand, can trump success, on the other – not necessarily.There is no denying that this is a fairly new situation for Apple. In the fourth quarter of 2017, the company ruled and divided the wearables market, accounting for over 60 percent of sales. In a few months the shares have dropped by nearly half, and although at the headquarters of the company with the logo of "bitten apple" probably still far from panic, the fact is that the other producers – probably with Xiaomi and very successful band Mi Band 3 – very much strongly attack and affect the shape of the wearables market.
Reply? The new Apple Watch
So what will Apple's response to unfavorable market trends. This is probably obvious – probably in the autumn we will see a completely new Apple Watch appearance , which will provide at least a few months of breath and upward trend. What about the rest? Well, we are counting primarily on Chinese giants Huawei and Xiaomi, because probably only they are able to move the whole stake and threaten Apple with his finger. Which, of course, would benefit the industry. source: gsmarena