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Apple Watch growth lags, growing a modest 5% increase from 2024, as rivals push hard on health features & lower prices while Apple is focusing on enhancing the stickiness of its ecosystem

May 28, 2025 //  by Finnovate

The global wearable band market grew 13% year over year in the first quarter of 2025, reaching 46.6 million shipments, according to new data from Canalys. The rebound was driven by broad demand across categories, especially in emerging markets, and a low comparison base from the first quarter of 2024. Xiaomi surged back into the lead with 8.7 million units shipped, up 44% from 2024. Apple came in second with 7.6 million Apple Watch shipments, a modest 5% increase from 2024. That’s in line with seasonal expectations, as the first quarter tends to be the furthest point from Apple’s typical September refresh cycle. Instead of chasing hardware overhauls, Apple is focusing on enhancing the stickiness of its ecosystem. Huawei held third place with 7.1 million units shipped, a 36% year-over-year gain. Its GT and Fit series found traction outside China, supported by a wider rollout of the Huawei Health app. Samsung followed with 4.9 million shipments, a sharp 74% increase driven by a dual-market strategy. Garmin rounded out the top five with 1.8 million units shipped, up 10%. The launch of Garmin Connect+, a subscription platform for deeper health insights and training tools, signals the brand’s move toward recurring revenue. As hardware margins tighten, vendors are shifting focus from features to ecosystems. Huawei is taking a more health-centric approach, building a closed-loop system through its Health app. Price, battery life, and health tracking remain the top buying factors. But as ecosystems mature and software capabilities expand, vendors that offer reliable integration and trusted data handling will have the edge. Xiaomi’s rise highlights how affordable devices, when paired with a growing ecosystem, can take the lead even against brands with a head start.

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Category: Apple, Companies and Organizations

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