Much of the speculation surrounding Apple’s iWatch has been regarding specs, the design and when it will be released. Now analysts at Morgan Stanley are making predictions as to what return the tech giant can expect to receive once it becomes available.
They claim that the iWatch has the potential to bring in up to $17.5 billion after a year’s sales, that’s assuming that the wearable device has a price tag of $299 and there are plenty in stock. If however Apple struggles to get enough of the product to retailers, then we could see a similar scenario to the iPhone 5s, which ran short, resulting in the iWatch revenue falling to between $10 and $14 billion, which is still not a sum to be sniffed at.
We’d like to say it’s the official iWatch design, but no – it’s just another concept design for now
Morgan Stanley explained how they reached that figure by saying: “Our working assumption is that iWatch largely will be adopted as an accessory device and, therefore, sold into the existing customer base, like the iPad, rather than to new customers, like the iPod or iPhone,” the research note said.
So the researchers think that most of the custom will come from existing Apple product owners, who are looking for a high-tech accessory to work with what they already own. It is likely that the smartwatch will also drum up new customers.
Like with all the other rumours and expectations, we will have to wait and see what happens but Apple could certainly do with a boost, especially after its first quarter failed to impress investors. I’m sure Apple are hoping that the Morgan Stanley analysts have got it right on this one.
[Image via businessinsider]
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