Ming-Chi Kuo, a noted Apple analyst of KGI securities, posted a note estimating the number of pre-orders Apple received for its Apple Watch to be in excess of 2.3 million units. Ming-Chi Kuo has a respectable track record when it comes to reporting on Apple.
The analyst has also breakdown the predicted 2.3 million units into various Apple Watch models. Out of 2.3 million pre-ordered units, Apple Watch Sport took about 85% share, Apple Watch 15% and Apple Watch Edition comprises less than 1% of total pre-orders received, estimates the analyst.
Kuo predicted these numbers based on the production capacity of the smartwatch. He estimates that Apple will likely manufacture 2.3 million units of its wearable watch by May, starting the production back in march itself. Apple has given the shipping time frame of July, and based on this time frame, Kuo estimates 2.3 million Apple Watch units pre-ordered.
The analyst also says that Apple is all set to muscle up its supply chains for the Apple Watch to reach 2-3 million units per month, which the company might be able to achieve in coming June provided the manufacturing process does not run into some issues. He further adds that the main Apple Watch supply constraints include the vibration mechanism Apple calls Taptic Engine, and the AMOLED displays – manufactured by LG. Both of these hardware are proving to be the bottle neck in production of the Apple Watch going ahead in full steam.
The smaller sized vibrator that need to be fit in much smaller space than on the iPhone, and the frequency accuracy required in the Watch are leading to the production issues. Similarly, the color quality of the AMOLED display used in the Watch and its lifespan are being paid utmost attention.
Apple is yet to reveal the official numbers of pre-orders the company received for its smartwatch. Despite selling out within six hours of pre-orders going live, Kuo is not sure whether the Apple Watch will be a hit among customers or not. Interest in Apple Watch among customers seems to be low, with only die-hard Apple fans discussing about it.