Apple Inc. (NASDAQ:AAPL) Making Progress with its Smart Devices

Apple Inc. (NASDAQ:AAPL) has been concentrating increasingly on its smart devices. The company is already reported to have sold 19 million units of its newly launched smart watch. Sales have already left android wear behind by a margin. Apple has also been dealing with the iPhone bending problem in the past year, something which it plans to avoid in the upcoming models. Unfortunately, recent products have also resulted in a decline in iPad sales for the company.

Apple predicts that the sales for its smart watch will keep growing by 9 nine folds in the current year. However, Apple’s policy to make its products compatible with fellow Apple products only, would mean that Apple would not be able to fully make use of the market. Analysts predict that by 2020 Apple will only have 38% share in the smart watch market, with Android wear taking the remaining 62%.

However, analysts have also predicted that the smart watch market heavily depends on Apple succeeding with its watch. If the product is a flop, the rest of the market would suffer as well. While it concentrates on making the watch better, Apple is also working on technology to stop the slimmer iPhones from bending. Until now, the company has planned to use a thin coating of carbon fiber to prevent the aluminum body from bending too much.

The current object is to use a thin film of carbon fiber between two very thin sheets of aluminum. This would mean that newer iPhones would be even slimmer, but stronger. Consequently, this would further mean the death of the iPad. Apple has already reported a decline of 23% in units sold, with the reason being larger iPhones. As Apple moves forward making its iPhone more advanced, it is paying little to no attention to the iPad. Eventually, this could mean that the iPad might soon be discontinued, replaced permanently by iPhones.

Apple Inc. (NASDAQ:AAPL) closed at $125.26, after gaining 0.62% on May 7. The company has 5.76 billion shares in the company, with a 52-week range of $82.90-$134.54.

About the Author

Stinson is US Markets Daily’s Senior Producer for News & Public Affairs.

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