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Chronicles

The story behind the story

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Global smartwatch shipments grew 24% YoY in 2021, with a record 40M+ shipments in Q4; shipments in India grew 274% YoY, helped by local brands like Noise

Counterpoint Research Sujeong Lim

Context & Ripple Effects

After a near-flat 2020, the market had already returned to growth in the first quarter of 2021, led by Apple and Samsung. Full-year growth and a record fourth quarter show that rebound extending beyond the early-year surge.

India is the standout geographic change: local brand Noise helped drive its 274% annual increase. Later coverage reinforced that pattern, with India leading global growth in Q3 2022 and Noise’s shipments rising sharply.

First-order effects

  • Noise gains immediate validation as a beneficiary of India’s smartwatch expansion, while the global market exits 2021 with its highest quarterly shipment level in the supplied coverage.
  • Apple and Samsung face a market in which growth is no longer defined solely by their worldwide performance; India’s local brands are contributing materially to shipment gains.

Second-order effects

  • Noise’s subsequent growth raises the competitive pressure on Apple and Samsung in India, where local brands have demonstrated that they can participate in the category’s fastest expansion.
  • A larger India contribution makes global shipment growth more sensitive to regional vendor mix, rather than only to the established leaders’ results.

Third-order effects

  • If India continues to lead growth, smartwatch competition will become more geographically fragmented, with local brands shaping global shipment rankings alongside Apple, Samsung, and Huawei.
  • The later divergence between Apple’s growth, Samsung’s decline, and Huawei’s expansion suggests a market shifting from broad category recovery toward vendor-specific and regional growth paths.

The trend: Smartwatch growth is broadening from a recovery led by established global vendors toward a more regionally driven market in which Indian local brands are increasingly consequential.