The global market for sensors in wearables will expand to 466 million units in 2019, up from 67 million in 2013, according to the accompanying figure.
Orders for sensors will grow much faster than the market for the wearables themselves. Wearable device orders will increase to 135 million units in 2019, less than three times the total of 50 million in 2013.
"Wearables are a breeding ground for sensors, with market growth driven by the increasing number of these components in each product sold," said Jérémie Bouchaud, Director and Principal Senior Analyst for MEMS and Sensors at IHS Technology. "The main factor driving this phenomenon is a shift in market share from simpler products like pedometers to more sophisticated, multi-purpose devices like smartwatches and glasses. Rather than using a single sensor like the simpler devices, more complex products employ numerous components for health and fitness monitoring, as well as for their more advanced user interfaces."
The average wearable device in 2019 will incorporate 4.1 sensors, up from 1.4 in 2013.
Smartphone brands are increasingly aware that wearables are a better platform for some types of sensors than mobile phones. IHS expects components such as humidity and heart rate sensors to shift from phones to wearables, such as the new smartwatches introduced by Samsung, Apple, and others. This will further increase sensor orders in wearables.
This information comes from the new IHS report titled "MEMS & Sensors for Wearables Report-2014" from the IHS MEMS and Sensors service.
Sensor Exploration:
The types of sensors used in wearables are motion sensors, microelectromechanical systems (MEMS) and sensors for user interfaces, health sensors, and environmental sensors.
Motion sensors represent the dominant technology in the wearables segment and comprise the component categories of accelerometers, gyroscopes, magnetometers, pressure sensors, and combined motion sensors. MEMS sensors for user interfaces include MEMS microphones, proximity sensors, and MEMS displays.
The health sensor area is represented by pulse sensors, pulse oximeters, hydration sensors, and skin temperature sensors. Environmental sensors include ultraviolet (UV) components for humidity and temperature.
Opportunity in Sensors:
Wearables are increasingly employing sensors for exercise monitoring, including motion and health sensors. Wearable devices are also implementing health and exercise monitoring using motion or health sensors such as heart rate monitors. On the user interface side, wearables use MEMS microphones for voice command and motion sensors.
"The use of these types of sensors reflects consumer preferences that are driving the growth of the wearables market," said Bouchaud. "Users want health and exercise monitoring, and they want wearable devices to function as extensions of their smartphones. However, there isn't a real consumer demand for environmental sensors. Instead, the growing adoption of environmental sensors, such as humidity and UV radiation devices, is being driven by sensor suppliers and wearable OEMs."
Watching the Market
: The wearables sensor market will undergo significant acceleration next year with the start of Apple Watch orders. Orders for wearable sensors are expected to double next year. Orders for smartwatch sensors will grow by almost 600 percent.
The Apple Watch employs not only an accelerometer, but also a gyroscope, a microphone, and a heart rate sensor.
"As with the iPhone and iPad, IHS expects the Apple Watch to set a de facto standard for sensor specifications in smartwatches," said Bouchaud. "Most other wearable manufacturers will follow Apple's lead in using these four devices, or even add more sensors to differentiate themselves."
Heart rate and fitness monitors, pods, and pedometers led the wearable market in terms of sensor orders in 2013.
However, smartwatches will take the top spot starting next year and maintain their dominance through 2019.
