Apple HQ in Cupertino, Calif. (Photo credit: Wikipedia)
Both the New York Times and the Wall Street Journal are reporting that Apple is working on a watch-like device. iWatch has been in the rumor mill for a long time, but now the rumor has gained more credibility being spread by these august outlets.
Pebble, a smart watch that shows emails or text messages easily at a glance by connecting Google Android smartphone and iPhone has received a lot of interest. The interest in Pebble was so high that it was quickly able to raise $10 million on the Kickstarter website.
If Apple were to introduce iWatch, it will be the first new category of products under Tim Cook. It is an open question if, under Cook, new categories will be implemented as well as they were under Jobs.
Here is my list of features that will make iWatch a killer product.
- iWatch should remember all of my passwords, eliminating the need to enter the passwords on various devices.
- iWatch should have a Siri based nifty way of remembering passwords for all the sites I visit and automatically entering user names and passwords for those sites.
- iWatch can act as a TV remote. Preferably using Siri as an interface.
- iWatch can tell me where my mobile devices are.
- iWatch can speak turn by turn directions to me while walking.
- iWatch can monitor my blood pressure and keep track of my activity such as how many steps I take in a day.
- iWatch can show me who is calling so that I do not have to take my phone out of my pocket.
- iWatch may include an NFC chip to help me pay for my coffee at Starbucks or my lunch at McDonald’s.
From an investment perspective, iWatch may return some of the ‘cool factor’ that Apple has lost. Regaining the cool factor will help reduce the negativity that is surrounding Apple.
When I recently started a short-term trade in addition to my long-term core Apple position, the sentiment on Apple was extremely negative as the chart shows. At extremes sentiment is a contrary indicator. Since then, the sentiment on Apple has remarkably improved and that is helping the short–term trade as shown on the chart.
About Me: I am an engineer and nuclear physicist by background. I founded two Inc. 500 companies, and have been involved in over 50 entrepreneurial ventures. I am the chief investment officer at The Arora Report, which publishes four newsletters to help investors profit from change. Write me: Nigam@TheAroraReport.com. Follow me here and get email notification when I publish a new article.
Full disclosure: Subscribers to The Arora Report are long Apple from $131 and have already taken partial profits on 90% of the position.
