Apple Inc. (NASDAQ:AAPL) emerged as the strongest performer in the global smartwatch market during the first quarter of 2026, extending its market leadership as demand for its latest watches accelerated, according to a new report.
Counterpoint Research said global smartwatch shipments rose 4% year over year in the quarter, supported by Apple’s gains and a recovery in China.
Apple Extends Market Leadership
Counterpoint said Apple captured a 23% share of global smartwatch shipments during the quarter. The research firm said the company posted the fastest shipment growth among the top 10 smartwatch brands, with shipments rising 21% from a year earlier. Principal Analyst Anshika Jain said Apple’s refreshed product lineup fueled the gains.
“Apple has captured the highest shipment share of 23% and emerged as the strongest performer in Q1 2026, driven by the continued success of its refreshed lineup. While North America contributed over half of the total shipments of Apple, China and Europe recorded the fastest growth for the brand. The addition of meaningful health upgrades and the affordable SE 3 attracted new buyers,” Jain said.
China Market Rebounds
Counterpoint said China’s smartwatch shipments increased 15% year over year. The firm attributed the recovery to Huawei’s strong market position, government electronics subsidies, and growing demand for locally developed brands. Huawei accounted for about 40% of smartwatch shipments in China during the quarter, followed by Imoo and Xiaomi Corp. (OTC:XIACF), according to the report.
The research firm said consumers also showed greater interest in health-focused features such as sleep tracking, emotional well-being monitoring, and arrhythmia analysis.
Premium Features Lift Prices
Counterpoint said the average selling price of smartwatches increased 6% from a year earlier. Jain said higher prices reflected the addition of advanced sensors, AI features, and improved health-monitoring technology.
“Smartwatches’ ASP rose by 6% YoY in Q1 2026. The major drivers were the integration of improved sensors and advanced technologies to support health monitoring and AI capabilities. In addition, consumers’ transition from basic smartwatches to advanced smartwatches in emerging markets like India is also driving the overall ASP growth,” she said.
Outlook Remains Positive
Counterpoint said the smartwatch market regained momentum in 2025 after slowing in 2024. The firm expects recent memory shortages and broader macroeconomic challenges to weigh slightly on growth in 2026. However, it believes the impact will be smaller than in other consumer electronics categories because premium smartwatches carry higher margins.
The research firm forecasts the global smartwatch market will grow at a compound annual growth rate of about 3% through 2030.
AAPL Price Action
Apple shares were up 0.41% at $297.17 at the time of publication on Thursday, according to Benzinga Pro data.
Photo via Shutterstock
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