The Next S Curve: From Smartphone to Wearables

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4Q 2013 | IN-1018066

 

The Search for the Next Innovation Cycle

NEWS


The year 2013 has been characterized by execution, not innovation. Commercial success was driven by incremental improvements on existing mobile technologies, with the iPhone 5c being a prime example. When the key marketing message is about color, you know that innovation is running on empty.

The whole industry needs to be concerned about this situation, as the tech industry is by definition one of rapid product cycles where innovation is quickly commoditized, with the price and margin erosion that goes with it; hence, the financial markets low P/E ratios. Considering these factors, the search for renewal and the next S curve is a constant cycle.

Wearables has been the buzz category of the market in 2013, driven in part by Google Glass. The hype and hopes are high for the category as we move into 2014. CES and MWC will be littered with new wearable launches, with attempts at market leadership, even though commercial success has b...

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