Apple Inc. (NASDAQ:AAPL) hasn’t said a word about whether it really is working on a so-called iWatch, but everyone is pretty much expecting it. Analysts are churning out more and more reports about the rumored device, like about how much revenue and earnings Apple could see from it and what it might do. Now we’ve got another analyst report about it, and it sounds like he thinks we could see it along with the iPhone 6 this fall.
Apple iWatch components into production
In a report dated June 5, 2015, analyst Brian White said he met with a “tech supply chain company” and heard that some iWatch components were about to enter into early production later on this month. He said Apple Inc. (NASDAQ:AAPL) suppliers are planning to sharply speed up production of the components heading into the fall.
Because of the timing of this ramp-up, White believes Apple Inc. (NASDAQ:AAPL) will show off the iWatch along with the iPhone 6 in September. He said his talks with suppliers have indicated that the iWatch’s “first iteration” will be “more of a companion device.” He expects that it will have to be connected to an iPhone, so it would make sense that Apple would show the iWatch off with the iPhone 6 at the same time.
The analyst said he expects Apple Inc. (NASDAQ:AAPL) to offer more than one iWatch model in a couple of different price ranges, just as it does with the iPhone. He believes the lowest price model will begin at around $199 to $229. That would make it competitive with other smart watches from other big brand names. It would also enable many consumers to be able to afford it.
Biggest iPhone 6 expected this year
White also provided an update on how he thinks production on the iPhone 6 is going. We’ve heard rumors that both a 4.7-inch and 5.5-inch model are in the works and that the 5.5-inch model could be delayed until after the launch of its smaller cousin. However, White says his “research” suggests that Apple Inc. (NASDAQ:AAPL) will still launch the 5.5-inch iPhone 6 “this fall.”
However, he said it’s still unclear whether the 5.5-inch iPhone will launch alongside the 4.7-inch one. He’s expecting the 4.7-inch iPhone 6 to launch in September, but he said his sources suggest that it’s possible the 5.5-inch model will be delayed by about a month and launch in October instead of with the smaller model simply because of constraints in capacity. The analyst doesn’t really think that an extra month really matters, as long as the 5.5-inch iPhone 6 is launched this year. He thinks that a 2014 launch for the phablet-sized iPhone will satisfy both consumers and investors.