Apple Watch to use up 30% of global gold supply: Report
NEW DELHI: Apple could be using up as much as a third (30%) of the world’s gold for Apple Watch, according to a new report.
According to a report by TidBits, Apple could use about 746 metric tonnes of gold in an year to produce 1 million units of Apple Watch Edition every month, as suggested by Wall Street Journal. According to the report roughly 2,500 metric tonnes of gold are mined annually.
Of course the report is based on a number of assumptions and information based on rumours and unnamed sources. So, it needs to be taken with a pinch of salt. But Apple is known to buy supplies in bulk to bring down supply costs and stifle competition and would put its best foot forward to sell the Edition variant even though it’s touted to be a super-luxury product costing about $10,000.
The TidBits report bases its findings on the recent Wall Street Journal report that pegs the Apple Watch Edition production figures at 1 million units per month.
Apple Watch Edition smartwatches feature a casing made from 18 karat gold. The report assumes that each watch will use 62.2grams of gold. After doing the math, the total gold used by Apple comes out to be roughly 746 gram, almost 30% of the total gold mined. It estimates Apple’s annual gold supply to be worth $28.8 billion.
The numbers do look a bit unrealistic. To offer some context, Rolex sells 600,000 watches watches in an year for about $4.7 billion.