Apple Watch 2 Expected to Focus on Internal Upgrades Rather Than External Changes, Launch in Late 2016

Apple Watch shipments will decline more than 25 percent year-over-year in comparison to 2015, according to a new research note issued by KGI Securities analyst Ming-Chi Kuo. The wearable device sold an estimated 10.6 million units in eight months last year, but Kuo predicts that even with the launch of the Apple Watch 2, and a full twelve months of sales, the device's shipments will still come in at less than 7.5 million units in 2016.

applewatchbuiltinapps
The analyst describes an "immature wearable device market" and a few key lacking features of the first-generation Apple Watch -- iPhone independency, no killer app, limited battery life, etc. -- that will contribute to its overall sales decline prior to the launch of the second-generation version. Kuo believes that the Apple Watch 2 will enter mass production in the third quarter of 2016, in line with a fall launch alongside the iPhone 7, so its overall contribution to shipping numbers for the year is predicted to be limited.

Kuo's note also predicts some of the features of the next version of the Apple Watch, which is expected to adopt the same upgrade cycle as the iPhone. In essence, 2016's Apple Watch 2 will see some under-the-hood spec improvements and possibly minor form factor changes, while fans will have to wait until 2017 for a massively redesigned wearable from Apple. The similar design is one of Kuo's biggest reasons for declining Apple Watch shipments in 2016, despite even the uptick in sales the device could have during the holiday season.

The recent KGI Securities research note directly conflicts with a report from less-reliable Apple analyst Brian White, released last Friday, that predicted the Apple Watch 2 will not only launch in two to three months, but adopt a 40 percent slimmer case design. That launch window would put a reveal by Apple at WWDC in June with a launch following a few weeks later.

In either launch scenario, the Apple Watch 2 is rumored to have a bevy of feature improvements over its predecessor, including a FaceTime video camera, an expansion of its Wi-Fi capabilities, and new model tiers. Rumored casings of the next iteration of the device could possibly even incorporate new materials such as titanium, tungsten, palladium or platinum.

Related Roundup: Apple Watch 10
Buyer's Guide: Apple Watch (Buy Now)

Popular Stories

15 New Things Your iPhone Can Do in iOS 18

15 New Things Your iPhone Can Do in iOS 18.1

Friday September 27, 2024 6:14 am PDT by
Apple is set to release iOS 18.1 in October, bringing the first set of Apple Intelligence features to iPhone 15 Pro and iPhone 16 models. This update marks a significant step forward in Apple's AI integration, offering a new Siri contextually-aware experience and a range of additional capabilities powered by on-device machine learning and large language models. There are a couple of handy new...
iPhone 17 Slim Feature Single Camera 2

10 Reasons to Wait for Next Year's iPhone 17

Monday September 23, 2024 2:00 am PDT by
Apple's iPhone development roadmap runs several years into the future and the company is continually working with suppliers on several successive iPhone models simultaneously, which is why we sometimes get rumored feature leaks so far ahead of launch. The iPhone 17 series is no different – already we have some idea of what to expect from Apple's 2025 smartphone lineup. If you plan to skip...
AirPods Pro Firmware Feature

Apple Releases New AirPods Pro 2 Firmware

Thursday September 26, 2024 11:16 am PDT by
Apple today released a new firmware update for the AirPods Pro 2, with the software available for both the USB-C and Lightning models. The AirPods Pro 2 firmware has a build number of 7A305, up from the 7A302 firmware released earlier in September. There is no word yet on what's included in the firmware, but Apple is planning to add hearing aid and hearing test features to the AirPods Pro 2...
Generic iOS 18

Apple Preparing iOS 18.0.1 Update for iPhone Following Several Bugs

Thursday September 26, 2024 9:34 am PDT by
Apple appears to be internally testing iOS 18.0.1 for the iPhone, based on evidence of the software update in our website's analytics this week. Our logs have accurately revealed many iOS versions before they were released. We expect iOS 18.0.1 to be a minor update focused on bug fixes. Issues that could be addressed with the update include touchscreen issues affecting the iPhone 16 series...
ipad pro new blue

Best Buy Takes Up to $1,000 Off M2 iPad Pro With Record Low Prices

Thursday September 26, 2024 10:15 am PDT by
Best Buy is back this week with big discounts on the M2 11-inch and 12.9-inch iPad Pro, providing up to $1,000 off select models. A My Best Buy Plus/Total membership is not required to see these discounts. You'll find both Wi-Fi and cellular tablets on sale at Best Buy, with a particular focus on the larger capacity 1TB and 2TB models. All deals listed below represent record low prices on...
iPhone 15 Pro lineup

Apple's 80% Charging Limit for iPhone: How Much Did It Help After a Year?

Tuesday September 24, 2024 2:09 pm PDT by
With the iPhone 15 models that came out last year, Apple added an opt-in battery setting that limits maximum charge to 80 percent. The idea is that never charging the iPhone above 80 percent will increase battery longevity, so I kept my iPhone at that 80 percent limit from September 2023 to now, with no cheating. My iPhone 15 Pro Max battery level is currently at 94 percent with 299 cycles....
M4 Mac mini Black Perspective

What to Expect From an Apple Event in October: iPad Mini 7, Redesigned Mac Mini, and More

Friday September 27, 2024 11:47 am PDT by
Apple will likely hold another event in October this year to announce new Macs and iPads. If so, it would be the fourth time in the last five years that Apple has held an event in October. Last year, Apple held a virtual event on Monday, October 30 to announce new MacBook Pro and iMac models with the M3 series of chips. A concept of a smaller Mac mini Below, we recap rumors about a potential...

Top Rated Comments

kemal Avatar
111 months ago
Maybe they need more band options?
Score: 75 Votes (Like | Disagree)
mroffbeat Avatar
111 months ago
Apple Watch:
on Siri: Hey Siri (wait 10 seconds) set the time.. Hey Siri.. Hey.. set the timer for 5 minutes.. (wait 15 seconds)..done
on Apps: Starting up weather app.. shows old info.. wait for.. oh damn, does not work.. open other app
On glances: **** waiting... waiting ***

Apple watch needs more CPU power and faster response for it to work..
I still wear it every day though, notifications seem to do fine which i do love
Score: 43 Votes (Like | Disagree)
Glideslope Avatar
111 months ago
Good. Just kill the dam thing and give us better Mac Book Pros. :apple:
Score: 29 Votes (Like | Disagree)
Crosscreek Avatar
111 months ago
Niche market not the next big thing Tim.
Score: 23 Votes (Like | Disagree)
spiderman0616 Avatar
111 months ago
Analyst Speculates On Numbers That Have Never Been Reported: Film at 11.
Score: 18 Votes (Like | Disagree)
McFreggle Avatar
111 months ago
Apple Watch:
on Siri: Hey Siri (wait 10 seconds) set the time.. Hey Siri.. Hey.. set the timer for 5 minutes.. (wait 15 seconds)..done
on Apps: Starting up weather app.. shows old info.. wait for.. oh damn, does not work.. open other app
On glances: **** waiting... waiting ***

Apple watch needs more CPU power and faster response for it to work..
I still wear it every day though, notifications seem to do fine which i do love
Siri isn't the fastest on the Watch, I agree. But it is capable of handling some backlog. Most of the times, I raise my wrist, I say "Hey Siri, set a timer for 15 minutes", I lower my arm, and I check back 10 seconds later if it succeeded. 99% of the times it did.

But I fully agree the watch needs more CPU power and way faster response. And they should fix the 1% of the times when it didn't work. And its Siri should be capable of doing all the things the phone Siri can do.
Score: 16 Votes (Like | Disagree)