iWatch Detonates Smart Watch**

According to news on June 11, according to foreign media reports, Apple announced HealthKit at this year's global developer conference that the company is likely to develop wearable devices. As the release time approaches, investors may begin to consider the potential of Apple's wearable devices.

From HealthKit to iWatch

HealthKit is the clearest clue from Apple that the company plans to release iWatch this year. HealthKit will act as a developer's tool to enable the coordination of health and fitness applications. HealthKit creates a central database for storing key physiological indicators collected by smart devices - such as heart rate and burning calories.

Apple said on its website, "Health stores all its data in one place. Users can access this data with just a click of the screen and have a clear understanding of their physical condition."

Technology blog site Re/code reported last week that Apple plans to launch a HealthKit-enabled wearable device in October this year, which is one month later than Apple’s release of the iPhone. Apple released the new iPad and Mac last October.

Will iWatch be a blockbuster?

According to the Nikkei Asian Review, Apple apparently believes that Apple is very confident with iWatch and plans to produce 3 to 5 million pieces a month, which means that the annual output will reach 36 million to 60 million pieces. .

Given that iPad sales in the first year were only 19.5 million units, this is a huge number. iWatch sales reached 36 million units a year, which is equivalent to more than half of iPad sales in the past year. In the past 12 months, iPad sales were 71.8 million units.

If iWatch sales reach such a high level, Apple may bring a revolution in the field of smart watches. In 2013, sales of smart watches were only 500,000, and iWatch's monthly sales of 3 million to 5 million will make the sales of smart watches in 2013 worth mentioning. Analysts' estimates of the future potential of smart watches are also quite conservative. . Market research firm Canalys estimates that sales of global smart watches will reach 8 million and 23 million in current and next year. If Apple can achieve its own goals, Canalis and many other market research companies may greatly underestimate the role of Apple in the smart watch industry.

Given Apple's conservative valuation, iWatch's success may provide investors with long-term upside.