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  (Source: Phonandroid)
Despite scaled down feature set Apple believes it can outdo Android's 2014 sales by a factor of

Apple, Inc. (AAPL) appears to believe that it can sell roughly thirty times as many smartwatches per month as all its rival OEMs on Google Inc.'s (GOOG) Android Wear platform did combined in 2014 monthly averages.

That bold goal comes in spite of a reportedly dwindling featureset, a disappointing one-day battery life (in line with Apple's initial launch comments, but less than some Apple fans optimistically hoped for), and a relative high price tag ($349 USD and up), which on average is is between $50 and $150 USD more expensive than competitive Android offerings.

According to market researcher Canalys, a total of 720,000 Android Wear devices shipped in 2014 -- an average of roughly 60,000 smartwatches shipped per month for all Android Wear watchmakers.  Apple, by contrast believes it can sell between 1.7 and 2 million smartwatches per month on average over the first three months of Apple watch availability, according to a new report in The Wall Street Journal.

Apple Watch Sport

While recent Android sales have likely risen somewhat, that would indicate Apple besting last year's sales pace by an estimated 28-to-1 on the low end or 33-to-1 at the high end of its predictions.

Apple believes its tight integration, coveted features like Apple Pay, and its well-oiled marketing machine will finally convince consumers that they need a smartwatch -- a product that until now has been niche.  Apple CEO Tim Cook and company are reportedly confident enough they've placed a 5 to 6 million unit order to Taiwan's Quanta Computer Inc. (TPE:2382), the ODM tasked with assembling the device.

Reportedly Apple will look to have roughly have its order (2.5 to 3 million units) be the sportier baseline model, which retails at $349 USD, while the other half will reportedly be devoted to the solid gold framed "luxury" model.

Apple Watch

Apple has successfully transformed niche products into high volume sellers in the past -- most notably the tablet computer form factor, with its launch of the iPad in 2010.  One key question, though is whether Tim Cook has the ability to transform a product space like his predecessor, the late Steve Jobs.  

Jobs, the company cofounder and perennial CEO until his passing, had a nearly unmatched talent for ramping up volume in under-served electronics niches such as the portable media play (PMP) market (with the iPod) and the nascent smartphone market (with the 2007 iPhone), in addition to the aforementioned iPad.

Tim Cook pitches the Apple Watch
Apple CEO Tim Cook is seen here pitching the Apple Watch last September. [Image Source: STF]

The Apple Watch ships to customers in April, so Apple's bold targets will look to mostly be in the second calendar quarter.

Apple is clearly very committed to its smartwatch.  Even if Cook and company fail to meet their ambitious targets, it seems likely that the Apple Watch will outsell Android watches by a relatively large margin on sheer marketing alone.  The good news for Android fans is that they get bragging rights as the Apple Watch brings relatively little to the smartwatch space that hasn't already been done by Google and its OEM partners.

Source: WSJ





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