The smartwatch market experienced its first-ever global decline in 2024, market researchers have revealed this week. The good news for Samsung is that it improved its smartwatch shipment market share year-on-year in a climate that led to a decline in Apple's share.
Samsung increased its global shipment share by 3% in 2024. Counterpoint Research says the new Galaxy Watch 7, Watch Ultra, and Watch FE “saw strong adoption” and helped the Korean tech giant ship out more smartwatches in 2024 than it did a year before.
Overall, Samsung had a smartwatch shipment market share of 9% in 2024 and captured the third place. It was outperformed by Huawei, which experienced a 35% year-on-year shipment increase, and Apple, whose shipments declined by 19% YoY.
A graph showing market share gains and losses for each main smartwatch maker.
According to the paper, the global decline in smartwatch shipments was largely caused by Apple. The Apple Watch didn't gain much traction, particularly in North America, where prospective customers didn't find the Series 10 compelling enough for an upgrade.
Interestingly, the market analysis suggests that the kids' smartwatch segment witnessed a year-on-year increase. The leading brand in this segment was Imoo.
This market shift may have convinced Samsung to release a Kids Mode for the Watch FE earlier this year, along with the Galaxy Watch Kids Band for 40mm Watch 4 and newer models. The Galaxy Watch Kids Band costs $25.
As for what might be next for the global smartwatch market in 2025, market watchers expect shipments to “recover slowly and witness single-digit percentage growth.” This could be driven, in part, by more AI features being integrated into high-end smartwatch models this year.