x PhoneArena is looking for new authors! To view all available positions, click here.
  • Home
  • News
  • Analyst: Apple iWatch could be $6 billion business

Analyst: Apple iWatch could be $6 billion business

Posted: , by Alan F.

Tags:

Analyst: Apple iWatch could be $6 billion business
According to Citicorp analyst Oliver Chen, the rumored Apple iWatch could produce some very profitable numbers for Apple. Chen expects the Cupertino based company to snag 10% of the $60 billion world-wide watch industry and he says that it could be big if Apple were to "create something totally new like they did with the iPod -- something consumers didn’t even know they needed." According to those with inside information of the device, features being considered for the iWatch include an ability to make and take calls, offer some type of mapping capabilities and count steps like a pedometer. It will also be designed to monitor a person's health through data like heart rate.

Apple has applied for a patent on a device worn on the wrist using a flexible display

Apple has applied for a patent on a device worn on the wrist using a flexible display

Apple is said to have 100 engineers working on the project and has filed at least 79 patents that include the word "wrist". A recently discovered patent application revealed that Apple has considered building some type of device for the wrist that uses a flexible screen, powered by solar and kinetic energy.

This isn't the first time that a tech company tried to get into the watch business. In 2003, Microsoft teamed with watchmakers Citizen Watch Co. and Fossil to build a watch that would deliver sports scores, weather and traffic reports. By 2008, the team had dissolved. But now, the watch business is booming with companies like Fossil and Movado Group Inc enjoying margins in excess of 55% That makes it a perfect time for Apple to show that it still knows a thing or two about innovation.

While an iWatch might sound like a great idea for Apple, there is a device that could offer competition even if it is not another watch. Google has Google Glass that will apparently hit the market by the end of this year although there is no indication that the two are mutually exclusive of each other.

source: Bloomberg

77 Comments
  • Options
    Close




posted on 04 Mar 2013, 10:40 7

1. sithvenger (banned) (Posts: 371; Member since: 25 Aug 2012)


I know I want one.

posted on 04 Mar 2013, 15:11 2

33. Mxyzptlk (Posts: 3213; Member since: 21 Apr 2012)


I just want them to shut up and take my money.

posted on 04 Mar 2013, 15:26 4

34. sithvenger (banned) (Posts: 371; Member since: 25 Aug 2012)


Exactly

posted on 04 Mar 2013, 15:49 2

37. PapaSmurf (Posts: 7312; Member since: 14 May 2012)


Why would I spend money on something that will probably cost over $100 when my phone already has all the capabilities?

posted on 04 Mar 2013, 16:37 3

44. Droiddoes (unregistered)


$100? New apple novelty? That doesn't add up. Expect it to launch at $199 MINIMUM.

posted on 04 Mar 2013, 10:44 14

2. _Bone_ (Posts: 2103; Member since: 29 Oct 2012)


This news released at this moment is mere damage control after Friday's reduced verdict, Apple stock is at another low at 423 as we speak.

posted on 04 Mar 2013, 11:02 7

6. technut (Posts: 52; Member since: 03 Aug 2012)


Exactly!

posted on 04 Mar 2013, 11:17 2

8. Ninetysix (Posts: 1348; Member since: 08 Oct 2012)


Who here owns apple stock? How does their stock affect us or me as a consumer exactly? Why do people keep on bringing up their stock?

posted on 04 Mar 2013, 16:23 3

42. BackHandLegend (Posts: 80; Member since: 15 Dec 2012)


To answer your third question, it is because Apple has a reputation of being this company of 'high prestige' for no reason other than a label. The fact that its stock prices are slowly but surely going down means that investors are losing their faith in the company (lack of innovation) and therefore are selling their stocks now to squeeze as much money out as they can. If Apple comes out with something good (which would be a first in a long time) investors would jump at the chance and buy stocks which would increase their value. At the moment Apple is stalling, releasing the same product over and over (4, 4S, 5... 5S?) with no design change and rather wants to sue the competition because it is cheaper than to be creative and invent.

posted on 05 Mar 2013, 02:45

71. Lucas777 (Posts: 2121; Member since: 06 Jan 2011)


no reason other than a label? please..

how about record profits and creating the smartphone and tablet market sectors… they have amazing profits and drive a huge part of the economy for one company… they were the single largest company in the world… that is not all because of a name

like apple or not they have high margins and produce fantastic figures.. i agree with your second part -- people have come to expect big things and will not settle for the practical value of apple stock even though it remains undervalued

posted on 05 Mar 2013, 21:56

76. BackHandLegend (Posts: 80; Member since: 15 Dec 2012)


Apple doesn't drive a huge part of the economy. In case you were wondering the stock market is an indicator of how the economy is doing. Why are Apple stock prices dropping yet the economy is getting better? I mean 90% of computer users are on windows, so OF COURSE it is because a label. It's the same as buying Starbucks's 3 dollar coffee compared to Mc. Donalds's 1 dollar cup.

Here's what Apple should do to get back in the race. (Coming from an Android/Windows/Linux User)

1. The most crucial. REDESIGN Both hardware and software for their handheld devices.

2. Use better motherboards for their macbook and iMac lineup. (They currently use the worst of the worst)

3. Lower their prices. OPTIMIZATION IS KEY TO SELLING AND PROFITS. (If you don't know what it is, take calculous.

It is ridiculous that Apple is a tech giant, yet they fall for their own stupidity. 1500 for a laptop with a mid sized screen in which I can just buy a substitute of equal specs, equal performance, at 2/3 less the cost.

Another thing that would make Apple relevant in the world of computers again, would be to make their OSX Mountain Lion available for all hardware not just locked hardware. MacOS is the most beautiful OS in existence, why isn't it free of its hardware limited shackles?

posted on 05 Mar 2013, 19:05

75. jroc74 (Posts: 4720; Member since: 30 Dec 2010)


Well....not too long ago....some Apple fans felt the need to gloat when Apple hit $700 a share....and at the same time try to diss Google..

Not even knowing that Google hit the number about 2 weeks before Apple. And was the 2nd time since Google became a company that it did.

Trust and believe...if it gets back up to $700....we will see a different comment section than what we see today.

posted on 04 Mar 2013, 11:30 2

12. Aeires (unregistered)


My thought was Chen holds a lot of AAPL.

posted on 04 Mar 2013, 12:28 1

19. Hemlocke (unregistered)


Yes, damage control, even in the face of today's announcement that the iPhone 5 is still the best-selling phone in the U.S. and the world through the end of February. They have to be crying in Cupertino over that.

posted on 04 Mar 2013, 13:41 13

26. Droiddoes (unregistered)


You misspelled 'Galaxy S3'

posted on 04 Mar 2013, 10:44 4

3. Muzhhur (Posts: 240; Member since: 14 Sep 2012)


right now I dont like it, could be the ipod nano-watch.

We will see

posted on 04 Mar 2013, 10:45 2

4. PhoneArenaUser (Posts: 5430; Member since: 05 Aug 2011)


PhoneArena.com skipped news about Apple's shoe-life sensor patent. :)

posted on 04 Mar 2013, 10:58 11

5. technut (Posts: 52; Member since: 03 Aug 2012)


I can see Google Glass being a 6 billion dollar business.. but a watch... nah

posted on 04 Mar 2013, 11:03 5

7. PhoneArenaUser (Posts: 5430; Member since: 05 Aug 2011)


It's called marketing propaganda. :)

posted on 04 Mar 2013, 14:00 4

31. Reluctant_Human (Posts: 845; Member since: 28 Jun 2012)


Its possible if its priced right but that doesn't tend to be Apples way of doing things.

posted on 04 Mar 2013, 16:39 4

45. Droiddoes (unregistered)


Yup. I also expect Timex, Casio, Rolex, Swiss, etc etc to be sued over "patent infringement" any day now.

posted on 04 Mar 2013, 17:17

50. sithvenger (banned) (Posts: 371; Member since: 25 Aug 2012)


Awwwwwwwww shut up

posted on 04 Mar 2013, 18:17 3

53. Droiddoes (unregistered)


To take a line from your oh-so-mature toybox of witicisms: make me.

posted on 04 Mar 2013, 17:50 4

52. _PHug_ (Posts: 380; Member since: 11 Oct 2011)


Classic.
+1 for you sir

posted on 04 Mar 2013, 11:18 3

9. steviewonders (Posts: 20; Member since: 03 Nov 2009)


Hopefully someone else will bring one out first so Apple can't sue everyone who brings out a similar product. Having said that, smart watches aren't entirely a new idea. Sony and pebble have already done something similar. Probably won't stop Apple trying to sue everyone though.

posted on 04 Mar 2013, 11:21 4

10. bojan (Posts: 188; Member since: 06 Oct 2012)


who still uses a watch only people 50 years old and up no thanks i don't want one i hate wearing a watch.

posted on 04 Mar 2013, 11:32

13. ibap (Posts: 681; Member since: 09 Sep 2009)


People who care about language and don't use the excuse of typing on glass to look like 10-year-olds or e. e. cummings.

posted on 04 Mar 2013, 11:34 2

14. PhoneArenaUser (Posts: 5430; Member since: 05 Aug 2011)


Disagree.

posted on 04 Mar 2013, 11:29 6

11. ibap (Posts: 681; Member since: 09 Sep 2009)


Apple will claim they always knew people wanted a watch. Like the iPad mini.

posted on 04 Mar 2013, 11:52 5

15. weinerslav (Posts: 126; Member since: 31 Jul 2012)


I love how they say "create something totally new like they did with the iPod -- something consumers didn’t even know they needed."

Take that creative, Diamond/rio, archos, cowon and all the other that made mp3 players before the ipod! Basically they could put dog poo in a box that they would be creating something totally new, something consumers didn't even know they needed!

Seriously, how do you expect people to stop complaining about apple with manipulative (and fake) statements like that?

posted on 04 Mar 2013, 13:42 4

27. Droiddoes (unregistered)


The 'iPood'

posted on 04 Mar 2013, 11:54 5

16. boosook (Posts: 893; Member since: 19 Nov 2012)


LOL! There are already many watches like this... the Sony SmartWatch, the i'm Watch...
I don't understand why the article quotes only a couple of failed projects and not the many projects that have arrived to the market and are actually on sale now.
Yes, I know that if Apple really enters this market will make a very elegant and usable product, yet a smart watch is neither "groundbreaking" nor "magic", "awesome" and so on, so how can you talk about "innovation"? You must be blind not to see that this is not innovation at all. This time Apple is late... what's more, the article is right: when Google Glass will come out, the Apple iWatch will look like a device from the stone age.

posted on 04 Mar 2013, 12:00 6

17. InspectorGadget80 (Posts: 6116; Member since: 26 Mar 2011)


Analyst are a bunch of iturds. Next thing we knew there will be lots of law suits from watch companies. And didnt samsung made flexible screen technology?

posted on 04 Mar 2013, 12:00 2

18. Brutus (Posts: 19; Member since: 21 Dec 2012)


If Apple manages to make the watch look beautiful (zero bezels, thin and with a vibrant display, I am gonna buy one.

posted on 04 Mar 2013, 12:48 4

21. andro. (Posts: 1935; Member since: 16 Sep 2011)


Smart watchs have alreay been done and people were to interested. Judging from this Apples should be the same,but you don't need to be an analyist or even in high school to know that what ever apple release ifans will buy in their droves no matter what it is,

The iwatch will probably be claimed to make time more beautiful,and the fans will believe.

posted on 04 Mar 2013, 13:04 1

22. rusticguy (Posts: 2817; Member since: 11 Aug 2012)


Yea tim cook will be wearing this watch to office and board meetings.

posted on 04 Mar 2013, 13:37 2

23. rusticguy (Posts: 2817; Member since: 11 Aug 2012)


From 705.07 (Sep 2012) to 421.15 (Mar 2013)in less than 6 months have seen lots of eggs on faces of lots of "Analysts". Let's see what this analysts get :D

posted on 04 Mar 2013, 13:39 3

24. Droiddoes (unregistered)


Analysts supporting apple so that their stock will go back up and they can maybe recoup some of the money they lost when appfails stock plummeted.
Joke proffession, joke company, joke product.

posted on 04 Mar 2013, 13:43 3

28. ZeroCide (Posts: 683; Member since: 09 Jan 2013)


Why do they continue to allow analysts to speak. They need to stop that. As soon as one opens their mouth someone nees to go SHHHH!!!!

posted on 04 Mar 2013, 13:55 2

30. BomberXL (Posts: 82; Member since: 17 Jan 2012)


the fact that people are going to look at this and have the nerve to call it revolutionary... i just wont undersatnd that or condone it. sure, from a design aspect, maybe, just maybe, it could be interesting. but theres nothing new or revolutionary about a watch idea. this is been floating around the tech community for years

posted on 04 Mar 2013, 14:34 4

32. XPERIA-KNIGHT (Posts: 2384; Member since: 08 Aug 2012)


Honestly, id buy that lol... if it wasnt to much money that is. Knowing apple, they would price it above a rolex!

posted on 04 Mar 2013, 15:27

35. sithvenger (banned) (Posts: 371; Member since: 25 Aug 2012)


Apple reserve 3 for me.

posted on 05 Mar 2013, 00:08 1

68. rusticguy (Posts: 2817; Member since: 11 Aug 2012)


Yea dark. myxtyxpyx and you :)

posted on 05 Mar 2013, 01:40 1

70. TROLLING (banned) (Posts: 13; Member since: 28 Feb 2013)


Trap its Darkjedi

posted on 04 Mar 2013, 15:28

36. CreeDiddy (Posts: 216; Member since: 04 Nov 2011)


The iWatch, iPhone 6 (larger screen if released), and iPad 5 will be money makers this year.

posted on 04 Mar 2013, 16:09 1

40. sithvenger (banned) (Posts: 371; Member since: 25 Aug 2012)


If you really think about it, how can they not be?

posted on 04 Mar 2013, 15:51 4

38. TheRetroReplay (Posts: 242; Member since: 20 Mar 2012)


I think I'd prefer Google Glass

posted on 04 Mar 2013, 16:21 3

41. Zero0 (Posts: 570; Member since: 05 Jul 2012)


iWatch sounds so innovative. Disregarding the nobody companies from Kickstarter that have already launched smartwatches, Apple is the only company to ever have this revolutionary idea. They should patent "time-telling device for adornment in the vicinity of the carpus," and promptly sue all other manufacturers of such a device.

Apple will change the industry with its massive profits, and spawn a whole new business model of profiting via litigation.

posted on 04 Mar 2013, 16:45

47. BackHandLegend (Posts: 80; Member since: 15 Dec 2012)


Oh my god... I surely hope you're trolling because if this really is coming out with sincerity than I would consider you the most redundant, iDiot I have ever seen. Please tell me you were joking because this post seriously gave me cancer.

posted on 04 Mar 2013, 17:37 6

51. Zero0 (Posts: 570; Member since: 05 Jul 2012)


It was satire.

Blame whatever language authorities who refuse to give us sarcasm punctuation.

posted on 04 Mar 2013, 20:18

61. BackHandLegend (Posts: 80; Member since: 15 Dec 2012)


Oh gosh thanks for telling me xD

posted on 04 Mar 2013, 18:55

59. pixelado (Posts: 130; Member since: 16 Feb 2013)


yeah, they should sue Sony for stealing their innovations since 2010.

Damn copycats, can't they innovate on their own? Jeesh!

posted on 04 Mar 2013, 20:31

62. Zero0 (Posts: 570; Member since: 05 Jul 2012)


Recent articles suggest that Nike stole Apple's idea even before that.

Johnny Ive in fact purchased some of the offending devices, to ascertain that Nike took Apple's technology before it even existed.

posted on 05 Mar 2013, 05:17

72. pixelado (Posts: 130; Member since: 16 Feb 2013)


Wow, they're using time travel just to steal ideas from Apple!

Remember when Google stole Apple's.revolutionary drag-down statusbar from iOS5 and put it on Android since 2008? They should declare thermonuclear war to Android right now, it's a stolen and unoriginal product.

posted on 04 Mar 2013, 16:45

46. trustory (Posts: 104; Member since: 23 Jan 2013)


iwatch > google glass

posted on 04 Mar 2013, 18:25 3

54. technut (Posts: 52; Member since: 03 Aug 2012)


I strongly disagree. I think it will be a great product, but it's no where near as innovative as Google glass.

posted on 04 Mar 2013, 17:02 1

48. luis_lopez_351 (Posts: 951; Member since: 18 Nov 2010)


6 billion? you dont say. We should totally tax the crap out of already rich apple. Why the hell does it need so much money? My guess is to take it out of circulation and make the common people even more miserable. I hate you apple, I hope all its high salary owners get unknown diseases.

posted on 04 Mar 2013, 18:33 1

56. androiddownsouth (Posts: 598; Member since: 02 May 2012)


I'll use my smartphone for all the things this would be used for and rock something elegant like a Movado watch. Much classier.=)

posted on 04 Mar 2013, 20:39

63. sithvenger (banned) (Posts: 371; Member since: 25 Aug 2012)


But you haven't seen it yet.

posted on 05 Mar 2013, 08:54

74. androiddownsouth (Posts: 598; Member since: 02 May 2012)


I realize I have not seen it yet, but I also can't imagine it having any features I would need/want that my smartphone can't provide, and I don't see any chance it looks better than a Movado watch, imho. More power to those that want one of these. Not my bag, not my style dude.

* Some comments have been hidden, because they don't meet the discussions rules.

Want to comment? Please login or register.

Latest stories