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Samsung and Apple will sew-up the smartwatch market, others will fail, predicts analyst


Samsung and Apple will largely own the smartwatch market between them, predicts Jackdaw Research chief analyst Jan Dawson in a report being issued later today and seen by Re/code.

Dawson said that new players should “stay out of the market,” and existing players should scale back their plans.

“We do not recommend that existing vendors should maintain current levels of investment when market growth and the overall revenue opportunity remain poor,” Dawson said. “It is unlikely that more than one or two small vendors will be able to make a sustainable business out of smartwatches in the face of competition from Samsung and […] Apple” …

Samsung didn’t have the most successful of smartwatch launches, with the original Galaxy Gear being panned in reviews and reportedly failing to sell, but its Galaxy Gear 2 seems to have been better received. LG threw its hat into the ring with the G Watch, and Google is expected to launch the Moto 360 shortly.

Numerous other players are moving into what Jackdaw says is a “narrow market,” among them HTCHP and ASUS.

Apple is expected to launch its iWatch in October. Sales of 30-60M in the first year have been predicted.

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