The new version of the Apple Watch which is imaginatively expected to be called the Apple Watch 2 is set to have a host of new features including a faster processor, a barometer, a slimmer display and will even be waterproof.
In the note Kuo predicts that the new device will be released later in 2016, potentially even at the same time as the iPhone 7 that is expected to be unveiled in California next month.
Many of the features such as screen size and the overall form will remain the same but notable improvements include increased battery capacity and an improved TSMC processor.
Other new additions include a GPS radio and a barometer which allows improved geolocation capabilities. It seems that rumours of cellular connectivity are unfounded although LTE support could come in 2017.
The effect of this would be that users could use their watch independently of their iPhone which would be a first.
The watch was first launch in 2015 and has received mixed reviews with only 47% of Americans believing that the Apple Watch will be a success.
Advertising technology company Fluent, found that only 8% of Americans own a smart watch with a quarter of those saying that they did not believe that it had been a success.
Jordan Cohen, the chief marketing officer of Fluent, said at the time: “The Apple Watch certainly isn’t perfect, and may not have lived up to the incredible amount of media hype surrounding it when it was first brought to market, but the consumer adoption is there, and opportunity abounds for the future of the wearables category.”
While no official sales figures have been released for Apple’s wearable device, analysts estimated that the Cupertino firm shipped around 12 million Apple Watches in 2015, giving the company approximately two-thirds of the global smartwatch market.