Wearable devices such as the Apple Watch or Fitbit trackers are not living up to the hype and users are struggling to find a clear use case for them, according to a new report.
Research firm eMarketer has slashed its forecast for wearable devices in 2016. This year, 39.5 million US adults will use a wearable device (with internet connectivity) at least once a month, far less than the 63.7 million previously forecast, eMarketer said in research released on Tuesday.
This means that wearable usage in the U.S. will only grow 24.7 percent in 2016 versus a previous forecast of 60 percent.
"Before Apple launched its Watch, fitness trackers dominated the wearables space, and consumer surveys consistently found that tracking health and fitness was the main reason people were interested in wearables," Cathy Boyle, analyst at eMarketer, said.
"They also reported high price-sensitivity. Without a clear use case for smart watches—which have more features than fitness trackers, but significant overlap with smartphone functionality—the more sophisticated, expensive devices have not caught on as quickly as expected."