How Apple Inc. (Nasdaq: AAPL) Will Dominate the Wearable Tech Wars

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Apple Inc. (Nasdaq: AAPL) has quietly been putting together a strategy that will allow it to gain the upper hand in a wearable tech market that is forecast to explode over the next few years.

Apple is expected to introduce its long-awaited iWatch device before the end of the year, but that's just one small part of what the Cupertino, Calif.-based tech giant has planned.

wearable techApple is very close to having the pieces in place to revolutionize yet another industry, just as it has done with computers, music, and mobile phones.

It's exactly the sort of boost that Apple stock has needed for the past year as investors have awaited the company's Next Big Thing.

Wearable technology is the next chapter in the story of the "mobile wave," which started with the introduction of the iPhone in 2007.

But while sales of mobile devices like smartphones and tablets have started to flatten, the new category of wearable tech – smartwatches, smart wristbands, and headsets like Google Inc.'s (Nasdaq: GOOG) Google Glass – is poised to break out.

According to a February report by research firm Canalys, wearable tech will graduate to become a "key consumer technology" this year. The firm predicts the smart wristband segment alone will grow from 8 million this year to 23 million in 2015 and more than 45 million in 2017.

And a Juniper Research study at the end of last year forecast that retail revenue from the wearable technology market will grow from $1.4 billion in 2013 to $19 billion in 2018.

With sales of Apple's iPhone and iPad flattening, and mobile competition from other device makers like Google and Samsung Electronics (OTC: SSNLF) getting tougher every quarter, the company needs to become the undisputed leader in the wearable tech category.

What Apple has done is fixate on the single most compelling aspect of wearable tech – the one thing that will drive the most people to buy and use wearable tech devices – and apply its philosophy of vertical integration as only Apple can.

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  1. mds | March 20, 2014

    The fact that you write of predictions of AAPL's domination of wearable tech is proof of it's failure so far. Google's Goggles are a flop and so is Samsung's current watch, as will I;m sure it's new one.
    AAPL will in fact dominate; because they are not just offering things people don't have; they are developing things people will want to use.
    LMAO though, because nobody has a clue what it will be, or when.
    Any speculation is nothing more.

  2. David Zeiler | March 20, 2014

    With Apple, one can only speculate about exactly what's to come, as they never talk about future products. But what has leaked out over the past few months strongly hints that Apple's wearable tech will be health-oriented. As for Google and Samsung … they haven't had any huge successes in this area yet, but they will keep trying (and are sure to imitate any successful product that Apple comes up with).

    • mds | March 20, 2014

      Problem is that by the time Google and Samsung copy what AAPL does; AAPL is on to the next thing. The competition is one to two refresh cycles behind; and what they copy is replicated out of crap materials. Next thing you know Samsung will use 3D printing to make their toys…..But the new multi-door refrigerator looks nice. Better they stick to what they do best. Appliances.

    • Adam Tentis | March 20, 2014

      Google has not released anything in this category yet. Try not to confuse Samsung's crappy watches with Google.

      Oh and do yourself a favor and take a look at the moto 360 using android wear so you can see who apple will be copying soon

      • mds | March 22, 2014

        Google has released Google Glass. It flopped and it is being discontinued. The forum is wearable tech in general; not just smart watches.
        I think it is you that may be confused.

      • mds | March 22, 2014

        Very Funnny!
        LMAO!!!!

  3. Shawn | March 21, 2014

    This article doesn't provide any information nor any proof about what the title states.

    • Brandon | March 21, 2014

      Seriously, I like Apple, but what the hell is this article about? There's literally no information here at all.

      "What Apple has done is fixate on the single most compelling aspect of wearable tech – the one thing that will drive the most people to buy and use wearable tech devices – and apply its philosophy of vertical integration as only Apple can."

      What is this thing?

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