Your smartwatch is probably good enough, and the market knows it

Buying a new smartwatch has become difficult. If the one on your wrist still tracks your workouts, shows your notifications, and gets you through the day, why spend another few hundred dollars on a new one? Plenty of people are asking themselves the same question.

New data from Counterpoint Research shows that global smartwatch shipments fell 4% year over year in Q2 2026. That’s notable because there are more choices than ever, ranging from cheap watches that cover the basics to expensive models loaded with health and fitness features. But having more watches to choose from doesn’t necessarily mean people want to replace the ones they already own.

Counterpoint says that’s particularly noticeable at the cheaper end of the market. Basic smartwatch shipments continue to struggle as people hold onto their devices longer, partly because newer models don’t offer enough additional health and fitness capabilities to make upgrading worthwhile.

Premium watches are running into their own version of the same problem. People are keeping expensive watches for longer, too, while some buyers held off during the quarter as they waited for upcoming launches. And unlike smartphones, where an aging battery or slowing performance can eventually force your hand, a smartwatch that’s still doing its job can be pretty easy to live with for another year.

There were some bright spots. Huawei led global smartwatch shipments during Q2, while Apple recorded the fastest year over year growth among the five biggest brands. The Apple Watch Series 11 and Watch SE 3 were particularly important, together accounting for more than 80% of Apple’s shipments during the quarter. But the more interesting question is what could get the broader market growing again.

Counterpoint expects global shipments to increase by only around 1% in 2026, but some upcoming features could make upgrading much easier to justify. Blood pressure tracking is becoming a bigger focus, manufacturers are continuing to work toward non-invasive blood glucose monitoring, and on-device AI could eventually make smartwatches more useful without requiring you to pull out your phone.

And honestly, that’s probably what smartwatches need next. A brighter screen or a faster chip is always welcome, but if your current watch already works perfectly fine, those upgrades alone probably aren’t enough to make you replace it. Something like better blood pressure tracking or, eventually, reliable glucose monitoring is different. Those are features you can’t get from the watch already on your wrist, and they could give people a real reason to upgrade.