Australia markets open in 3 hours 29 minutes

    -75.50 (-1.09%)

    -0.0040 (-0.58%)
  • ASX 200

    -63.40 (-0.94%)
  • OIL

    -2.27 (-2.03%)
  • GOLD

    -1.00 (-0.05%)

    -217.29 (-0.73%)
  • CMC Crypto 200

    -2.73 (-0.62%)

Will Apple's new products kill the wallet as we know it?

Wallets may soon be a thing of the past if recent reports about Apple’s new suite of products are anything to go by.

Apparently, the Cupertino-based technology giant has big plans of taking the weight out of your back pocket with its range of devices set to launch on September 9.

Related: Is wearable tech really all it's cracked up to be?

After leaks earlier this week that the new iPhone will also act as an electronic wallet, Wall Street Journal is now reporting that the iWatch will also be a mobile wallet, apart from being a fitness accessory.

The WSJ reports that both devices will be fitted with NFC (Near Field Communication) which will enable tap-and-touch payment.

Is this what the iWatch will look like?
Is this what the iWatch will look like?

This is an interesting move for Apple that has so far avoided adopting the NFC standard that is common in Android phones.

Reports have also surfaced that Apple has reached deals with American Express, Visa, and MasterCard for its mobile payment service, bringing the world's top credit card companies onboard for the imminent launch.

iWatch details continue to leak

While rumour mills are abuzz that the iWatch won’t go on sale until next year, there has been a consistent stream of leaks about its major features.

Related: Why it's time to sell the Apple stock

According to reports, Apple’s senior vice president of design, Jony Ive, boasted that the wearable device will be so cool, it could have the Swiss sweating bullets.

The comments may have been tongue in cheek, but investors are starting to pay more attention to the possible device. KGI Securities analyst Ming-Chi Kuo suggested in a note to investors that the new wearable device could come in different colors and sizes, and would likely not hit the shelves until 2015.

Kuo speculated that the iWatch would come in a variety of colors including gold, and would likely be available with a 1.3-inch display as well as a 1.5-inch.

Or is this what it will look like?
Or is this what it will look like?

So, is the iWatch bigger than investors are giving it credit for?

“Initial demand for the iWatch should be strong given Apple’s ‘cult like’ following,” Cowen and Co.’s head of sales trading, David Seaburg, told Yahoo Finance. “However, I don’t believe it will be a huge driver of future revenues and I expect the luster to fade quickly. Look at Samsung’s watch as an example.”


Seaburg isn’t standing alone. Chad Morganlander of Stifel's Washington Crossing Advisors doubts Apple’s latest and greatest will move the needle long term. “Apple has a tremendous revenue line.
Over the course of 2015, our expectations are close to $200 billion in revenues.”

Wearable tech sales are expected to rise in the coming years. Photo:
Wearable tech sales are expected to rise in the coming years. Photo:

Our goal is to create a safe and engaging place for users to connect over interests and passions. In order to improve our community experience, we are temporarily suspending article commenting