Apple now the largest wearables maker with just a single product

Renewed interest in smartwatches helped push Apple past Fitbit and Xiaomi to claim the top spot in the first quarter.

Apple has dominated the smartwatch segment thanks to its strong brand and tight integration of the Apple Watch into the iPhone ecosystem. Apple's success in this area has largely come as no surprise, although smartwatches have not taken off the way some brands might have hoped. What’s more surprising is that the latest numbers on overall wearables shipments showing Apple has eclipsed Fitbit to become the largest wearables brand by shipments.

According to Strategy Analytics, 16 percent of wearables shipments during the first quarter were Apple Watches. Overall, shipments were up 21 percent to 22 million units, thanks to demand for new smartwatches. This suggests that the demand for fitness bands, which Fitbit excels in, is suffering as consumers look more upmarket.

This, however, does not seem to be the trend everywhere. Fitbit was also beat out by China's Xiaomi, which shipped 3.4 million units, just 100,000 less than Apple. Fitbit shipped 2.9 million units. So the demand for more basic fitness wristbands appears to still be healthy in China. Another aspect of Fitbit's woes could have something to do with cheaper Chinese smart bands performing basic functions well enough for the average consumer, thus contributing to Fitbit's 36 percent drop.

Apple's rise and renewed demand for smartwatches is still a good thing for those looking to convert consumers to pricier, more sophisticated hardware. With Android Wear 2.0 also rolling out this year, consumers will have more reasons to switch to or upgrade their smartwatches.