iWatch to Generate $17.5 Billion in Sales During Its First Year [Analyst]

iWatch to Generate $17.5 Billion in Sales During Its First Year [Analyst]

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Morgan Stanley analyst Katy Huberty estimates that Apple's rumored iWatch would generate $17.5 billion in sales during its first year, if released. That would better even the iPad's $12 billion debut, notes AppleInsider.

Huberty positions the iWatch as a natural accessory to the millions of iOS devices already being used, rather than a new product category such as the iPhone and iPad once were.

The $17.5 billion estimate assumes an average selling price of $299 and no supply constraints. If supply is constricted that number drops to somewhere between $10 billion and $14 billion.

Huberty notes that Apple's investment in R&D foretell the company's entrance into a new market.

Apple's "guidance for $10.45B of capital expenditures (non-cash and excluding retail stores) for FY14, which Apple just reaffirmed in the latest 10-Q, is up 32% from $7.9B in FY13. We believe this is an indication that Apple is investing in new product categories as single-digit iPhone and iPad growth no longer demands significant increases in capital expenditures," Huberty wrote.

Recent rumors have Apple releasing a new 'Healthbook' app for iOS 8 that monitors one's fitness levels and vitals signs via a link to the iWatch. Also just yesterday, the NEw York Times reported that Apple is experimenting with solar and wireless charging for the iPhone and iWatch.

You can click here to check out a recent iWatch concept from Todd Hamilton that features a Nike Fuelband form factor and UI elements from iOS 7.

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iWatch to Generate $17.5 Billion in Sales During Its First Year [Analyst]

Poopoo - February 4, 2014 at 5:24pm
This concept should be called the "ibraclet". As much has I love apple products, I can't see myself wearing one cause I love my classy invicta watches. But a "ibraclet"? Yes I would.
dribble - February 4, 2014 at 5:19pm
Proof that Apple "analysts" smoke crack!
Dim - February 4, 2014 at 4:27pm
I'm sure they will have some kind of sensor to measure heart rate combined with the coprocessor and the Apple Fitness App coming in iOS 8.
Tr1tan - February 4, 2014 at 4:12pm
I hope Apple likes Todd Hamiltons concept as it is simply amazing!
Dill Gates - February 4, 2014 at 4:20pm
Depends on screen length. Highly doubt it will look like this.