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Apple's iWatch Could Be Super Profitable
Business Insider ^ | 03/04/2013 | Jay Yarow

Posted on 03/04/2013 7:59:25 AM PST by SeekAndFind

Apple's iWatch, which is reportedly coming this year, could kill three birds with one stone for Apple.

1. It gives Apple an experimental entry in the wearable computing market which is said to be the next big thing

2. If done well it would kill the Apple-can't-innovate-without-Steve Jobs meme

3. It could be super profitable.

Let's tackle the third one. Bloomberg, citing a Citigroup report, says the global watch industry will do $60 billion in sales this year, with average gross margins of 60 percent.

Apple's iWatch, should it be released, will probably not fit neatly into the watch industry, so these comparisons are probably moot. (The margins on a $54,000 Audemars Piguet watch are probably pretty high, but unrelated to a mini-computer on your wrist.)

However, that doesn't mean we can't take a shot at trying to figure out how much money Apple could make on an iWatch.

In 2010, iSuppli estimated Apple's cost of goods plus manufacturing bill was $45.10 for an iPod Nano. The iPod Nano was the little square iPod with a touch screen. It actually wound up being used as a watch by a lot of people, and perhaps was a preview of an iWatch at Apple

(Excerpt) Read more at businessinsider.com ...


TOPICS: Business/Economy; Computers/Internet
KEYWORDS: apple; iwatch
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To: longtermmemmory

“IF this is rea, it is a “chick magnet” as much as a calculator watch...”

Except, this is from Apple, so chicks will automatically think it is trendy and cool.


21 posted on 03/04/2013 9:26:49 AM PST by Boogieman
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To: SeekAndFind

Not generally an Apple fan, but I have nothing against their devices.

If the price point was right, I might consider one of these.

Firstly, besides the “apple picking” phenomenon, I’ve seen a lot of broken iphones. People tend to drop them, or they keep them in a shirt pocket, bend over, and it falls out. Having the device on your wrist would be very helpful in that respect.

Also, as someone who would prefer a phone that was just a phone and not a camera, game device, mini browser, etc. and as someone who regularly wears a watch, I think a combination phone/watch could be a very attractive device to own.

If it could link to a basic (and inexpensive) pocket keyboard (via bluetooth?) then it might make it a useful text device. I’d also want the option of an earpiece for a more private conversation, but that’s an easy tech problem to solve.

But a lot depends on what it costs.


22 posted on 03/04/2013 9:57:00 AM PST by chrisser (Senseless legislation does nothing to solve senseless violence.)
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To: longtermmemmory
watches are fashion not function.

See my Casio Pathfinder EDC.
23 posted on 03/04/2013 10:16:22 AM PST by PA Engineer (Liberate America from the Occupation Media.)
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To: SeekAndFind

iWatch, I wait...............


24 posted on 03/04/2013 10:44:47 AM PST by Red Badger (Lincoln freed the slaves. Obama just got them ALL back......................)
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To: PA Engineer; longtermmemmory
I went through a short "crazy time" lately where I bought a bunch of inexpensive replicas of $pendy watches on eBay

But this ugly ol' thing (solar-powered, syncs via radio w/atomic clock in Colorado) has been the Best. Watch. EVAH:

I set all my other watches against it. < |:)~

25 posted on 03/04/2013 10:46:48 AM PST by martin_fierro (< |:)~)
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To: longtermmemmory
My father in law is a watchmaker. Has been for 65 years. I have a vast collection of watches. Pocket watches, self winders, solar powered, you-name-it.

I never wear any of them...except for fancy dress occasions....i.e....fashion.

The reason? I ain't no fashion bug and I have clocks that surround me 24x7;
I have 3 computers at work and each has a clock. I have 3 computers at home and each has a clock. Every room in my house has at least one...some have multiples. The kitchen stove has a clock, the microwave has one. In the living room, the TV has one, the cable box has one, the DVD player has one. In the bedroom there are two alarm clocks.

In my shop in the basement there are three clocks.
My cell phone has a clock and the dashboard in my car has one.

Why would I need a watch?

26 posted on 03/04/2013 10:51:02 AM PST by Bloody Sam Roberts (Here once the embattled farmers stood... And fired the shot heard round the world.)
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To: SeekAndFind

They will need to get kids back into the habit of wearing watches again.


27 posted on 03/04/2013 10:54:00 AM PST by dangerdoc (see post #6)
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To: dangerdoc

RE: They will need to get kids back into the habit of wearing watches again.

Hey, if it’s the cool and in thing to do, they will.

All they need to do is pay a cool star ( Justin Bieber? Rihanna? ) to wear or advertise one and that’ll catch on...


28 posted on 03/04/2013 11:01:17 AM PST by SeekAndFind
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To: martin_fierro

The Pathfinder is also solar-powered and syncs via radio w/atomic clock in Colorado. Even cooler. ;-)


29 posted on 03/04/2013 11:15:51 AM PST by PA Engineer (Liberate America from the Occupation Media.)
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To: longtermmemmory
watches are fashion not function.

My $40 Casio is a purely functional wristwatch. I don't have a cellphone.

Still, if this thing is more than vapourware, I'd get one just for the coolness of having a Dick Tracy TV watch. It's about time. What can I say? I'm a nerd at heart.

30 posted on 03/04/2013 12:01:07 PM PST by RansomOttawa (tm)
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To: RansomOttawa

My Seiko is so “green” and “earth friendly” that it doesn’t even require electricity! What will they think of next?


31 posted on 03/04/2013 1:36:04 PM PST by TexasRepublic (Socialism is the gospel of envy and the religion of thieves)
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To: martin_fierro

Each iTime will come with a complimentary pocket protector and a pen that can write in four colors!


32 posted on 03/04/2013 6:32:14 PM PST by SunkenCiv (Romney would have been worse, if you're a dumb ass.)
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