Apple Watch shipments set for decline – analyst – Mobile World Live

Apple Watch shipments set for decline – analyst

12 APR 2016

Apple Watch shipments will decline by more than 25 per cent year on year, due to an “immature wearable device market”, among other factors, according to a research note from KGI Securities.

Apple sold an estimated 10.6 million units of the device in eight months last year, and rumours are now rife about the launch of the second-generation of the watch.

KGI Securities analyst Ming-Chi Kuo however believes Apple Watch will shift less than 7.5 million units in 2016, even with the rumoured Apple Watch 2 on the horizon, due to a number of lacking features on the device, which will contribute to a decline in sales.

These include iPhone independency, the absence of a killer app and limited battery life, claimed Kuo.

The analyst expects Apple Watch 2 to enter mass production in Q3 this year, coinciding with the launch of iPhone 7, expected in the latter part of this year.

Apple Watch 2 will likely include spec improvements, and possible minor form factor changes, meaning the market may have to wait until 2017 for a completely redesigned wearable from Apple, added Kuo.

A prediction from Apple analyst Brian White released last week differed widely. He suggested the Apple Watch 2 could launch in two to three months and adopt a 40 per cent slimmer case.

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Kavit Majithia

Kavit joined Mobile World Live in May 2015 as Content Editor. He started his journalism career at the Press Association before joining Euromoney’s graduate scheme in April 2010. Read More >>

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