CHINA TOPIX

11/21/2024 10:35:10 pm

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Google Struggling with Early Android Wear Sales

It looks like Google's Android Wear platform isn't off to a great start, selling only 720,000 units in the second-half of 2014.

Canalys reports 4.6 million smartwatch and wearable sales during the same period, although it bundles in sales from Xiaomi's Mi Band that managed over 1 million sales in China.

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The sales aren't exactly promising at first glance and show a lackluster performance in the smartwatch market from Google's partners. But there are some factors to consider.

The first is Motorola's lack of supply for the Moto 360-the current leader in sales. If the Lenovo-owned company had better knowledge of demand, we'd certainly see over 1 million Android Wear sales.

There is also a lack of core smartwatches from suppliers like Samsung, Xiaomi and Google, the three companies that have the highest chance of pushing the Android Wear platform.

Having a Nexus smartwatch would be useful for other partners to better understand the platform, and for Google to heavily promote its own brand rather than one partner-giving them an unfair advantage.

There is this fear Apple will control the smartwatch market on launch, similar to the iPod and iPhone launches. If the Apple Watch manages to gain a good foothold in China and the U.S., it might be lights out for Android Wear.

This would be similar to Apple's growth in the iPod market when many suppliers including Sony were making MP3 players, only to be vastly outmatched in sales and popularity by Apple.

If reports of 30 million sales are true, Apple should have no issues taking 90 percent of the market in 2015. But these estimates are a bit lower considering the lack of core sales in 2014.

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