Apple Watch 2 has been in the rumor mill for months. And a new report coming out of Asia indicates that Apple has stepped up procurement of components and chips for the next-gen wearable device. Supply chain sources told Taiwanese publication DigiTimes that the second-generation Apple Watch will enter production in the third quarter. It means production will begin between July and September.

Apple Watch 2 And iPhone 7 will release on same date

Apple’s component orders seem aggressive

The production schedule indicates that the Cupertino company is gearing up to unveil the Apple Watch 2 alongside the iPhone 7 in September. Sources told DigiTimes that orders for the upcoming Watch have been much higher than expected after “disappointing sales” of the first generation. The pull-in of orders is “rather aggressive” as suppliers are estimated to ship as many as two million units of the Apple Watch 2 monthly.

That is a huge number considering lukewarm response to the first-gen Apple Watch. Though the Cupertino company has not revealed how many units were sold, KGI Securities analyst Ming-Chi Kuo estimates that the company would sell 7.5 million units this year. Production of two million units every month indicates that Apple is expecting huge surge in demand for the Apple Watch 2.

Why Apple expects strong demand for Apple Watch 2

One reason Apple seems so optimistic could be the brand new watchOS 3 that would bring plethora of improvements. The new smartwatch operating system includes Instant Launch to boost the app performance. Apple claims it will allow apps to launch seven times faster than on watchOS 2. The company has also added the ability to write characters with your fingers. The updated user interface includes Control Center. A new feature lets users call 911 within seconds.

The Apple Watch 2 is said to feature cellular network connectivity, a flexible display, and a faster processor. The cellular capability could allow the device to send messages, place calls, and access the Internet even when you are away from your iPhone. The second-generation Watch was previously rumored to arrive in March, but other reports confirmed that it was not ready for a spring launch.