Apple has ordered five to six million units of the Apple Watch from its suppliers in Asia, The Wall Street Journal has found. The orders made were consisting of different Apple Watch models – the Sport Model, mid-tier model and the high-end Apple Watch Gold edition.
Apple Watch Sport and Gold Edition
Citing people familiar with the matter, WSJ reported that Apple’s orders for the first quarter consists mainly of the Apple Watch Sport Model. One-third of the orders were allocated to the mid-tier model, the sources told WSJ. As for the high-end edition with 18-karat gold casing, the company plans to produce one million units per month by the second quarter.
The introductory price for the Sport model will be $349, WSJ said.The company has yet to determine pricing for the other models but sources were saying that the Gold edition will be one of the most expensive products from Apple. The estimates for the Apple Watch Edition went beyond the $4,000 price tag set for the Mac Pro computer, WSJ said.
Twenty Million Units To Be Sold By Yearend
According to a report from CSS Insight, the market for wearables will soar in 2015, with shipments reaching more than 75 million within the year. A quarter of this market will comprise sales for the Apple Watch. This means that Apple will be able to move approximately 20 million units by the end of 2015, CSS Insight predicts.
CCS Insight predicts that Apple Watch, like any other product launched by Apple, will create another must-have status symbol. Hence, it will transform the market for wearables. However, Apple’s failure to achieve the predicted sales will also mean harm for the whole smartwatch market.
“The Apple watch will be instrumental in taking the wearables market to the next level of growth… If the Apple Watch performs as well as expected, its halo effect will result in a sales bonanza in the second half of 2015, with record-breaking shipments in the important fourth quarter,” Ben Wood said. Wood is CSS Insight’s Chief of Research.
Apple CEO Tim Cook mentioned that the development for the Apple Watch is just right on schedule and the company expects to begin shipping in April. He made the remark during the company’s Q1 2015 earnings conference call on Jan 27.