News by Luke Jones on Friday November 21, 2014.
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Wall Street is surely banking on the Apple Watch becoming the breakout smartwatch hit that will bring the niche firmly into the tech mainstream. At the moment smartwatch sales figures are counted in the hundreds of thousands, with the entire industry only accounting for 7 million sales through the first half of 2014. Yes, that has improved with the launch of Android Wear, but still the wearable trend has yet to take off.That's interesting considering that many predict the industry will be worth billions in just a few year's time. It has been widely thought that the consumer space has been waiting for Apple to enter the market before committing to the smartwatch niche. Cupertino has of course done that with the Apple Watch, and while it may merely match rival devices in terms of features, it is expected that the wearable will vastly outsell others. In fact, general Wall Street figures predict the Apple Watch will move between 10 and 30 million units throughout 2015, with the most common estimate somewhere in the middle of those two figures. However, experienced Morgan Stanley analyst Katy Huberty is claiming that even the high end 30 million figure is probably a "conservative" estimate. She is theorizing that the Apple Watch will land in March and by then 315 million people will own one of the iPhones compatible with the device (iPhone 6, iPhone 6 Plus, iPhone 5, iPhone 5s, iPhone 5c). She then predicts that even a small number of those (say 10%) buying the Apple Watch will lead to more than the top guess of 30 million (35 million in fact based on this example). Of course, with a growing market it is wholly possible that more than 10% of iPhone owners will splurge on the Apple Watch, especially as Apple's popularity is not directly based on the value of its products. Huberty also says that by 2020 between 530 million and 1 billion smartwatches would have been sold, and it seems Apple may be responsible for a majority of those. The analyst also points to the iPad as a reference, with 14% of iPhone users buying the iPad during its first year. Apple is certainly thinking along the same lines as the company has reportedly set a production pace that will deliver between 30 and 40 million units, according to supply chain sources. Apple has yet to finalize all price points for the device, or even say when the product will arrive, and on top of that the finalized list of features is not 100% clear.
Luke Jones is the Managing Editor at MobileBurn.com and is the person you need to speak to about the content on the site. Luke studied creative writing at degree level before carving out a reputation as a freelance tech writer. He settled here at MobileBurn, where he reviews devices and contributes to the news, as well as overseeing the site's content and direction.