Well-connected KGI Securities analyst Ming-Chi Kuo has issued a note to investors in which he estimates global pre-orders for the Apple Watch have exceeded 2.3 million units.
Kuo, via MacRumors:
We estimate production of Apple Watch around 2.3m units in March-May. Mass production of Apple Watch began in March and will likely reach 2.3mn by end of May. Considering that most consumers who preordered will not get the device until June, we estimate global preorders of over 2.3mn units, with Apple Watch Sport, Apple Watch and Apple Watch Edition representing a respective order allocation of 85%, 15% and less than 1%.
Kuo noted Apple was working to expand its supply chains for the Watch, looking to hit a production target of 2 – 3 million units per month. Potential bottlenecks for production include the vibrators that power the haptic feedback on the device from AAC, as well as the AMOLED displays, which are supplied by LGD.
Vibrator issues stem from the components being used in a smaller device like the Apple Watch, while requiring a more accurate frequency than the vibrators used in larger devices, such as the iPhone. The AMOLED display requires both good color performance and a long life span.
If Apple is able to avoid production bottlenecks, Kuo believes June production could hit 2.5 million units. He is also not ready to declare the Watch a hit, as he estimates less than one-tenth of iPhone owners have pre-ordered the wearable.
Earlier this week, digital commerce tracking firm Slice Intelligence estimated that 1 million Apple Watch pre-orders were placed in the U.S. on April 10, the first day the Watch was available for pre-order.
