Sales of 10m wearable technology devices in 2014 will reap a US$3bn harvest

29 Jan 2014

Google Glass

Sales of wearable computing devices including fitness sensors, glasses and smart watches are expected to reach 10m devices in 2014, leading to US$3bn in sales.

According Deloitte’s 2014 tech forecast, phablets – half tablet/half smartphone – are expected to overtake sales of tablet computers.

Deloitte says in 2014 the total global sales of smartphones, tablet PCs, TV sets and gaming consoles will exceed US$750bn.

“Our report details many watched and often contended trends in the industry,” said Harry Goddard, partner with Deloitte in Ireland.

“While there has been much uncertainty around wearables, we predict that consumer interest will lead to a lucrative market with US$3bn (€2.2bn) in sales in glasses, watches, and fitness bands.

“We also anticipate a doubling up on Pay TV, which is counter to historical expectations of ‘cord cutting’.

“Additionally, smartphones, the largest component in the converged living room group – US$375bn (€275bn) revenue in 2014 – are nearing saturation among most age groups except the 55+ demographic, which will experience a steep rise in usage this year.”

SMS still more lucrative than mobile IM

Mobile instant messaging services, Deloitte predicts, will generate 70pc of all messages sent from mobile phones, but will represent just 3pc of the value.

Every day, 70bn messages will be sent via mobile devices, but only 21bn of these will be via SMS.

Despite this, SMS revenues will reach US$100bn while money generated from mobile IM services are forecast to come in at around US$2bn.

John Kennedy is a journalist who served as editor of Silicon Republic for 17 years