1. The concept of intelligent hardware has been greatly generalized. Although there is potential in the future, the market may usher in a small low tide;
2. A variety of factors have led to a bubble in the smart hardware industry, and the failure to identify user needs is the primary reason;
3. The entry of giants will lead to homogenization of products, but it is conducive to the development of industry standards and market maturity, not to mention the need for platform construction.
1% of Chinese may buy smart watches
Google uses Android Wear to give it the look of a smart watch that it recognizes, and gives the conclusion that when you want to have such a device when you have 125 mobile phones a day, are you considering buying a try?
If you bought a piece this year, congratulations may lead you to the trend. The latest report from analyst firm NPD shows that in 2014, 12 million smart watches will be purchased by Chinese consumers, close to 1% of China's total population. However, compared to the fashion watch on your hand, it may be just a downsized phone with a chain of less expensive.
The manufacturer that produces it may come from an unknown processing plant in Shenzhen, and the product design may be shared by many manufacturers. Before selling it to you, someone gave it a foreign name, or revealed his face on a crowdfunding website, or a well-known investor endorsed the product.
This is the status quo of the smart hardware market: a pioneering idea, less mature market demand, an overvalued market capitalization, and a group of entrepreneurs who dream or blindly follow suit. Fortunately, Internet giants such as Google have already entered the market, and the industry will reshape or begin.
Market pattern: bright future, road twists and turns
Although Google Glass was a real fire in 2012, 2013 was the year when consumers could see wearables entering the market. This year, wearables have more options, but they are still mainly focused on health and communications.
In addition, a car can be seen as a "wearable" device that is magnified or wrapped up. In 2007, the state began to support the policy, but was constrained by the problems with the technical level and network. The car network had a new development in 2014, and it had a qualitative leap in the three systems of “end, pipe, and cloudâ€.
Unfortunately, no analysis agency or practitioner can currently accurately determine the current market size. The reason is that the concept of intelligent hardware has been greatly generalized, and some networked devices or terminal products that have changed their form have also been repackaged in the name of "smart hardware."
Therefore, only the comprehensive multi-analytical organization's forecast can be concluded that the number of wearable devices in use in 2014 will reach 183 million units, an increase of 100% year-on-year. By 2018, there will be 561 million wearable devices in use worldwide.
It is worth noting that this market may explode in the short term. Similar to other consumer electronics such as DVDs, LCD TVs, and smartphones, product prices and profit margins will be further compressed due to the presence of giants. The space for bubble release is locked in 2016, and the market will cool down sharply, but after 2018 the market will return to growth again, and the outbreak will not happen again.
The cause of the bubble: the demand is not accurate, touch the stone across the river
Although some industry pioneers have made MP3 glasses style more than a decade ago, the current wave of smart hardware has arisen after Apple’s rumors of smart watch iWatch. Different from the previous one, due to the emergence of smart phones, people are generally keen on the "intelligence" of other devices. But the concept of this industry first will also lead to the existence of a bubble.
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