Connected Wearables Market Reaches New Heights in 2015
A total of 17.8 million of the wearables sold in 2020 are forecast to incorporate embedded cellular connectivity, mainly in the smartwatch space.Shipments of connected wearables soared to 72.5 million in 2015, up from 25.3 million devices in the previous year, according to a report from Berg Insight. Showing a compound annual growth rate (CAGR) of 25.8 percent, total shipments of smartwatches, smart glasses, fitness and activity trackers, people monitoring and safety devices and medical devices as well as other wearable devices are forecast to reach 228.3 million units in 2020, with Bluetooth remaining the primary connectivity option in the coming years. A total of 17.8 million of the wearables sold in 2020 are forecast to incorporate embedded cellular connectivity, mainly in the smartwatch and people monitoring and safety categories. The report noted that connected wearables such as cardiac rhythm management devices, ECG monitors, mobile personal emergency response systems (mPERS) and wearable computers are already common in the medical, people monitoring and enterprise segments. "Implantable cardiac rhythm management (CRM) has traditionally been the largest market segment, led by companies such as Medtronic, Biotronik and St. Jude Medical that included connectivity in CRM solutions more than a decade ago," Johan Fagerberg, CEO of Berg Insight, told eWEEK. "The adoption of remote patient monitoring solutions is driven by a wide range of incentives, related to everything from demographics and technology development to new advancements in medical treatment."
He noted, however, that there are a number of barriers, including resistance to change among health care organizations and clinicians, misaligned incentive structures, and the financing of wireless solutions by what is largely an underfunded health care sector.