Apple (AAPL) 'iWatch' Yields Said to Be Much Lower Than Expected
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Price: $168.76 -0.15%
Overall Analyst Rating:
NEUTRAL (= Flat)
Dividend Yield: 0.5%
Revenue Growth %: -4.3%
Overall Analyst Rating:
NEUTRAL (= Flat)
Dividend Yield: 0.5%
Revenue Growth %: -4.3%
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One thing Apple (Nasdaq: AAPL) watchers aren't anticipating at today's special event is a wearable device. And they may not see one for a while.
Dubbed by the media as the 'iWatch,' many don't see the device appearing until next year even as rival Samsung and even Qualcomm (Nasdaq: QCOM) released competing smartwatches recently.
Digitimes cites sources in saying that one issue being realized is that there are yield issues with Taiwan suppliers. Sources said that upstream suppliers are only able to meet 30 percent to 40 percent of original order volumes.
The 'iWatch' is built using powder metallurgy technology and then processed by CNC equipment, Digitimes noted. Apple's requirement that the device also be thin and light poses a challenge to this manufacturing process.
Price speculation on the 'iWatch' stands at $149 to $229, which seems low given what the competition is selling their devices for. Release of the device is expected late next year.
Apple is down 0.8 percent Tuesday.
Dubbed by the media as the 'iWatch,' many don't see the device appearing until next year even as rival Samsung and even Qualcomm (Nasdaq: QCOM) released competing smartwatches recently.
Digitimes cites sources in saying that one issue being realized is that there are yield issues with Taiwan suppliers. Sources said that upstream suppliers are only able to meet 30 percent to 40 percent of original order volumes.
The 'iWatch' is built using powder metallurgy technology and then processed by CNC equipment, Digitimes noted. Apple's requirement that the device also be thin and light poses a challenge to this manufacturing process.
Price speculation on the 'iWatch' stands at $149 to $229, which seems low given what the competition is selling their devices for. Release of the device is expected late next year.
Apple is down 0.8 percent Tuesday.
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