Apple iWatch likely to launch in second half of year, says analyst

Consumers eyeing an Apple iWatch could see one on their wrist sometime in the second half of the year.Apple is expected to give the signal to the supply chain this month to start cooking up components for the much-rumored iWatch, says Citi's Glen Yeung. With parts suppliers ready to kick off production, the analyst sees a second-half launch as "increasingly likely" for Apple's high-tech watch."We believe iWatch is in a greater state of readiness, with the supply chain now waiting for the production go-ahead from Apple," Yeung said in an investors note released today. "We suspect the go/no-go decision will be made in June and are leaning toward a 'go' outcome at this time."Reports have surfaced over the past few months that Apple would come out with a smartwatch. Apple naturally has been silent on the subject. But some recent tidbits suggest that an iWatch may be on the way.Apple reportedly has filed for a trademark on the "iWatch" brand in Russia. Taiwanese news source Economic Times recently said that Apple has been checking out 1.5-inch OLED screens for a smartwatch. And a story from Bloomberg said that the iWatch is slated to roll out as soon as this year.

Apple iWatch could trigger sales as high as $17.5B -- analyst

Apple CEO Tim Cook hinted at a new product category during the company's earnings call last month. And Morgan Stanley analyst Katy Huberty says she believes that category is most likely a wearable device.Reports and rumors have run rampant about a possible smartwatch from the minds of Apple. If such a device does clock in this year, Huberty predicts that Apple could generate as much as $17.5 billion in revenue during the first 12 months. That number assumes a price tag of $299 and a customer base similar to that for the iPad. In contrast, the iPad triggered sales of $12 billion and the iPhone $2.5 billion during their initial years, according to the analyst. However, supply constraints for an iWatch could limit first-year revenue to anywhere from $12 billion to $14 billion, which would still mean a 6 to 10 percentage point bump in Apple's 2015 revenues.And just who would buy the iWatch?"Our working assumption is that iWatch largely will be adopted as an accessory device and, therefore, sold into the existing customer base, like the iPad, rather than to new customers, like the iPod or iPhone," Huberty said in an an investors note released on Tuesday.