It looks like the Apple Watch may not have as big of a year this year as it did last. According to research from KGI Securities analyst Ming-Chi Kuo, Apple will sell fewer Apple Watch units during 2016 than it did in 2015.
The reason behind this? According to Kuo, the Apple Watch lacks “killer” applications, suffers from an inadequate battery life, and is currently too reliant on the iPhone to properly function. Kuo’s notes were recently obtained by Business Insider detailing his predictions for the Apple Watch.
The Apple Watch has so far failed to impact sales of devices like the Fitbit, according to Kuo, who goes on to say that the more affordable Series 1 Apple Watch will not necessarily lead to higher sales of the device. Because of what Kuo sees as shortcomings, he has cut his estimates for Apple Watch shipments this year by as much as 15 to 25 percent.
It is likely we will not know how many shipments of the Apple Watch are sold — the company does not break down sales numbers for the device and it never detailed how many units it has sold since April 2015, which is when it first started selling the watch. Estimates for sales vary pretty widely, but generally fall in between 1.6 million and 2.2 million units.
The decrease in sales does make sense, to an extent. The Apple Watch Series 2, while a great device, did not include as many new features as some were hoping. The device looks identical to the original Apple Watch, however it is waterproof and a slightly brighter display.
It is possible that the 2017 Apple Watch will change things — it is expected that the new device will come with a redesign and all-new specs, which could lead to higher sales.
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