After six consecutive quarters of declining smartwatch sales, the market began to mature, the proportion of new buyers began to decline, and smartwatch sales returned to a growth trajectory.
The Zhitong Finance App learned that TechInsights' wearables team's insights on the third day of CES 2025 focused on smartwatches released at the exhibition site. The team expects smartwatch sales to increase by 5% in 2025, driven by increased AI functionality, the power of new models, improvements in sensor and function combinations and penetration into lower price ranges, consumer upgrades from fitness bracelets and functional watches to watches that support third-party applications, improvements in the economic environment, strong emerging markets, and continued consumer interest in health and fitness. After six consecutive quarters of declining smartwatch sales, the market began to mature, the proportion of new buyers began to decline, and smartwatch sales returned to a growth trajectory.
Despite the weak presence of smartwatches at CES this year (especially compared to smart rings and smart glasses), there are several notable product launches, including:
Garmin has launched Instinct 3, which is available in three versions — an additional AMOLED display, and one that supports solar charging for “unlimited battery life” (depending on the weather!) There is also a lower-priced version with more streamlined features. All three models are available in two case sizes, and battery life is measured in days rather than hours. Although Garmin's product line is huge and sometimes confusing, they target highly segmented markets, and growth over the past few quarters has even surpassed the top three smartwatch vendors of Apple, Samsung, and Huawei.
Amazfit launched Active 2 for an amazing $99 retail price. Interestingly, it first hit the US market, and the global launch is scheduled for February. This is a great example of a combination of high-end features entering a lower price range, such as offline maps, an AMOLED display, an improved heart rate sensor, and an AI voice assistant. The battery lasts up to 10 days, and the upgraded version costs $30 more, equipped with durable sapphire glass and NFC for contactless payments. Amazfit wants to reverse the trend of declining sales over the past few quarters.
There were also many small smartwatch vendors at the exhibition site, with creative designs, ranging from child-focused cellular models to models with built-in headphones. Examples include the Rooftop Shark AI-10 smartwatch, Aurafit G12 smartwatch, and children's watches Pinwheel, MyFirst, and WatchOut Wearables.