Analyst: Apple’s iWatch Production Kicks Off This Month
Is production of Apple’s (NASDAQ:AAPL) long-rumored iWatch about to get underway? According to a new research note from Cantor Fitzgerald analyst Brian White, Apple’s overseas suppliers will begin making parts for the wearable tech device sometime this month in order to have the product ready for a fall launch window around the same time as the iPhone 6. White currently has a “Buy” rating and a $777 price target on Apple shares.
The Cantor Fitzgerald analyst based his prediction on information he gleaned from various supply chain sources he contacted at the ongoing Computex trade show in Taipei, Taiwan. “With the theme around wearable technology at Computex this year, our research has uncovered more data points as it relates to Apple’s ‘iWatch,’” wrote White in a note obtained by Barron’s. “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. Given the trajectory of this ramp and our experience analyzing other product ramps at Apple, we expect the ‘iWatch’ to be unveiled with the iPhone 6 in September.”
Like many other industry analysts, White believes that the iWatch will function as a peripheral device to Apple’s iPhone. A new iOS interactive notifications feature and the overall enhanced connectivity between devices that the Cupertino-based company unveiled at its Worldwide Developers Conference appears to support this view of Apple’s expected wearable tech device. For this reason, White believes that it would only make sense for Apple to release the iWatch alongside the next-generation iPhone.