Apple Watch Faces Tough Competition As Huawei Drives 20% Surge In Wearables – Xiaomi (OTC:XIACF)

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By Ronald Tech

Chinese tech giants are making substantial gains, challenging the dominance of established players like Apple Inc. AAPL in the global wrist-worn device market. 

What Happened: According to an IDC report released on Wednesday, the global wrist-worn device market, including smartwatches and wristbands, saw shipments reach 139 million units in the first three quarters of 2024.

Despite a 1% decline due to market saturation in key regions like the U.S. and India, China emerged as a leader with 45.8 million units shipped, marking a 20.1% year-on-year increase.

Huawei Technologies led the global market with 23.6 million units shipped, capturing a 16.9% market share. The brand’s GT5 series and Watch D2 were particularly popular.

Apple followed with 22.5 million shipments, holding a 16.2% market share. The tech giant experienced a 12.8% decline from the last year due to intense competition.

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Xiaomi Corp. XIACF ranked third with 20.5 million shipments and a 14.7% market share.

Samsung and the BBK Group, the parent company of brands like Oppo, Vivo, OnePlus, and Realme, followed with 11.5 million and 7.8 million units, respectively.

Source: IDC

Looking forward, IDC anticipates a 3.2% year-on-year growth in the Chinese market, with 62.5 million shipments expected in 2025, driven by diversified sales channels and improved health sensor accuracy.

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Why It Matters: Apple’s troubles with its Chinese counterparts are not limited to just wrist-worn devices. Earlier this year in July it was reported that Apple’s position in the Chinese market dropped from third to sixth place in the second quarter of 2024.

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Previously it was also reported that China is making intense efforts toward achieving technological self-reliance as a direct reaction to U.S. limitations on semiconductor exports to the country.

The country is also making waves in the field of AI. Earlier this month, Clem Delangue, co-founder and CEO of Hugging Face, predicted that in 2025, China will take the lead in the AI race, because of open-source AI development.

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Disclaimer: This content was partially produced with the help of Benzinga Neuro and was reviewed and published by Benzinga editors.

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