Despite many detractors, the Apple Watch has proven itself after the device added $1.7 billion to Apple's fourth-quarter earnings. This is crucial for Apple and for the smartwatch market overall.
For quite some time now, many pundits have been expecting Apple to fall to the big company rule, but as the iPhone factory has proven, that rule will not apply to it for 2015, according to the company's report to the U.S. Securities and Exchange Commission. It will eventually happen, but it may take longer than usual, especially if the company finds new ways to innovate.
What's interesting here is the fact that the Apple Watch has been available for less than half of the 2015 Fiscal Year, so to see it perform so well should be viewed as a good sign.
If Apple can continue at the pace it is currently on, the Apple Watch could become a $5 billion business, as VentureBeat points out.
"A little math: Other Products grew from $8.379 billion in 2014 to $10.067 billion in 2015. That means Apple has sold at least $1.688 billion worth of Apple Watches. But as the statement implies, the actual figure is higher in a category that was dragged down by falling iPod sales," explains VentureBeat. "If that pace can be maintained, it's reasonable to think Apple Watch could be at least a $5 billion business in this current fiscal year."
Still, those figures are far from iPhone and iPad numbers, but as the market for the smartwatch continue to grow from increased competition and consumer insight, the Apple Watch could be huge in just a few years.
We know that Apple wants to be less reliant on the iPhone, and as such, the company's smartwatch could turn out to be the device needed to keep growth upwards in the future to come.
Tim Cook, the ever calm CEO of Apple, is very confident in its Christmas holiday lineup as the company prepares to make a lot of money during this time and also in the early parts of January.
"We are heading into the holidays with our strongest product lineup yet, including iPhone 6s and iPhone 6s Plus, Apple Watch with an expanded lineup of cases and bands, the new iPad Pro and the all-new Apple TV which begins shipping this week," Cook said.
Apple revenues were commanding, but iTunes and iPads continue their downward spiral. It is clear the company will need to look into the reason why these products and services are not moving in the right direction.
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