The market saw an overall decline in smartwatch shipments compared to last year due to the ongoing global health crisis. Apple, however, saw a 19% increase in shipments YoY. Apple was the single largest smartwatch maker in Q4 of 2019 when it controlled 34% of the market. In the final quarter of last year, Apple Watch models accounted for 40% of the market share.
Apple’s market share consolidation can be attributed to the new Apple Watch SE’s success, the mid-range Apple Watch option. Apple released the SE model alongside its flagship Series 6 at a lower $279 price point, with some caveats such as the lack of an always-on display, ECG functionality, and the faster S6 processor.
Counterpoint senior analysts Sujeong Lim says that the new mid-range Apple Watch SE will likely push Samsung and other smartwatch makers to create similar, mid-range options for customers looking for cheaper alternatives to main flagships.