Buy Apple Stock Before It Unleashes This "Next Big Thing"

To me, these two details fit well with what I would expect from Apple here. Recall the two most prominent previous attempts at "smart glasses" – Google Glass in 2013 and Snapchat's Spectacles in 2016. Both flopped spectacularly.

Two of the biggest reasons for their failure were that they looked more dorky than cool and that the ever-present cameras raised serious privacy concerns. If Prosser is right, Apple has addressed both.

Prosser also says Apple Glass will require a paired iPhone to process all the AR data. This also makes sense, because it avoids bulky electronics on the device itself and follows the example set by the first model of the Apple Watch.

Some other details in the Prosser video:

  • AR displays will appear on both right and left lenses.
  • The name for the user interface is "Starboard," strikingly similar to the "Springboard" name for the iPhone's UI.
  • Users will control it with gestures both on and in front of the device.
  • AR won't work on tinted lenses.
  • Glasses will charge wirelessly on a special Apple-provided stand.
  • Price will be a reasonable $499 (prescription extra, of course).

To me, it all sounds exactly like a wearable device Apple would sell.

As for the timing, Prosser said Apple very much wants to unveil this device at an event at which the media is present – something pandemic-induced limits on indoor events has prevented.

But assuming Apple Glass is otherwise nearly ready to launch, I expect to see it either in June at Apple's annual Worldwide Developers Conference or – most likely – at the annual new iPhone event in September.

With Apple's other businesses hitting on all cylinders, another major product category like Apple Glass will supply the fuel to drive yet another Apple stock price rally – this time to $200 and beyond.

Why Apple Glass Will Be a Hit

I think Apple Glass will evolve into a significant business over the next three to five years, just like the Apple Watch before it.

The Apple Watch started with so-so sales in 2015 and 2016. The tech and financial media declared it a failure (I disagreed, of course).

Apple Watch unit sales grew from 10 million in 2016 (its first full year) to 43 million last year, according to FactSet data. The Apple Watch also generated $13.89 billion in revenue in FY 2020 – more than such well-known companies as Kellogg Co. (NYSE:K), MGM Resorts International (NYSE: MGM), and U.S. Steel Corp. (NYSE: X).

I expect Apple Glass revenue to follow a similar trajectory.

This matters to investors because Apple Glass, as a not-yet-announced product, is not factored into Wall Street's revenue and profit estimates yet.

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Adam Reynolds 2 months ago Member's comment

What "next big thing?" #Apple just takes other people's ideas and makes them better. They never come up with anything novel on their own. $AAPL

James Madison 2 months ago Member's comment

He's referring to Apple Glass. Though I'm not convinced this will take off. Google Glass bombed. And though Apple's version should be more streamlined, I suspect it will be a fad - like 3D TVs. Cool for a little while, but not the way most people want to "see."