The global wearable technology market is expected to register a compound annual growth rate of 19% from $22 billion in 2018 to $54.4 billion in 2023, driven by the growing demand for multimedia devices and smartphones coupled with the increasing adoption of fitness trackers and health-based wearables, forecasts GlobalData, a leading data and analytics company.

GlobalData’s latest report, ‘Smartwatches – Thematic Research’, reveals that smartwatches will be the largest and the fastest-growing segment in the wearable tech market over the forecast period, followed by fitness trackers.

Smartwatches accounted for 60% of the wearable tech market in 2018, mostly driven by demand for Apple Watches and the growth of brands such as Xiaomi, Huawei, Garmin, and Samsung.

Fitness trackers accounted for 29% of the market in 2018, but this market share is expected to drop to 20% in 2023 as smartwatches become the preferred alternative.

Cynthia Stinchcombe, Medical Devices Analyst at GlobalData, comments: “As consumers become increasingly health-conscious, the future will present as a blend of digital and physical as consumers adopt wearable technology into their daily routines.”