“Brian White of Cantor Fitzgerald, who is filing dispatches this week to clients from the giant Computex trade show in Taipei, Taiwan, today sent a missive saying he’s gained what he thinks is incremental insight into the plans by Apple for a smart watch this year,” Tiernan Ray reports for Barron’s.
“White, who has a Buy rating on Apple stock, and a $777 price target, writes that Apple will have its suppliers start making parts this month and to debut the device at the same time as the next model or the iPhone,” Ray reports, “he speculates, ‘With the theme around wearable technology at Computex this year, our research has uncovered more data points as it relates to Apple’s ‘iWatch.’ Our meeting with a tech supply chain company highlighted that initial production of certain “iWatch” components is scheduled to begin later this month and there are plans for a sharp acceleration into fall.'”
Ray reports, “He thinks Apple will price the device attractively: ‘Although our research suggests there will be a price band for the ‘iWatch’ (similar to other Apple products), we estimate the entry-level price could begin at approximately $199-229.”
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The price will be higher than that.
I suspect so. I’ll still buy at least one for my diabetic wife on release, even if $500. At under $200, I might buy a couple. Not usually an early adopter, but the life changing possibilities here are too good to wait on, even without glucose monitoring.
No, I think it will be around $199. As with iPad, which Apple desired to release with a base price of $499 (most “experts” were predicting a much higher price), Apple probably waited until the design and technology were “ready” for iWatch to be profitable with a $199 retail price.
iWatch is not going to “do everything,” such as play videos on its tiny screen, or take photos and videos. Instead, it will focus on doing fewer things very well, including things that an iPhone (or iPad) cannot do. And it will interact in clever and useful ways with iOS devices. Apple can do that for $199.
It makes sense that iWatch would be released with the new iPhone. If the new iPhone is going to be larger, it will be less convenient to take out and hold against your head. Or take out just to change the music playlist. If you’re using a headset, wired or Bluetooth, you can use iWatch to control the iPhone’s functionality. Conversely, the iPhone can use iWatch to optimally display status information. The iPhone (or iPad) remains tucked away.
And if it’s sold as part of an iPhone “package,” perhaps Apple will offer a deal that makes the $199 (with contract) iPhone plus iWatch COMBO priced at $299 (or $100 off the separate prices). Apple can use the carrier subsidy to make up for that $100 and still have a health profit margin.
Depth charges, torpedo’s and bottle rockets have been launched to add to the thermonuclear calamitous effect.
starting to think the entry level watch will have some weird price tag- $729
I suspect $199 is wrong, and I sure hope you are way off the other way.
I have an eleventy eleven buy rating on appl cuz iWatch’s gonna be so pretty on my wrist accompanied by my wrist ribbons not to mention give me an illusory bump in intelligence. I hope it’s waterproof so when me and gene decide to go singing in the rain. miso happy.
I’m still waiting for the iRing he claimed was in production