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Summary:

The president of LVMH’s watch division has told CNBC that the sales director for luxury brand TAG Heuer recently took a job with Apple as part of its iWatch team. The company’s smartwatch is expected to launch later this year

In what appears to be a move to expand its mobile team ahead of the much-rumored launch of the iWatch, Apple has hired the sales director of Swiss watch-maker TAG Heuer, a subsidiary of LVMH, according to a report from CNBC. A senior executive in the company’s watch unit told the news outlet that the sales director left last week to join Apple, and that the consumer electronics company plans to label its new smartwatch device as “Swiss made” in order to appeal to luxury buyers.

Jean-Claude Biver, the president of LVMH’s watch division — which includes the TAG Heuer, Hublot and Zenith brands — said the TAG Heuer sales director left last week, “to take a contract with Apple” in order to launch the iWatch. There have been widespread reports that Apple was looking to hire Swiss watchmakers to give its device the edge over similar smartwatch products that have either been launched or are expected from Samsung, Google and other device makers.

According to a number of recent reports, the iWatch (if that’s what it is actually called when it hits the market) is expected to have a rectangular touchscreen made of curved glass, made by LG, and will have wireless charging capabilities, including possibly a solar charging feature. Research firm IHS estimates that the market for wearable technology — including fitness tracking and related features — is expected to triple between 2013 and 2018, to $30 billion.

In a research note for clients released earlier this year, Morgan Stanley estimated that Apple could generate up to $17.5 billion in sales in its first year from the iWatch, outpacing even the iPod. The firm expects that the smartwatch will sell for about $299 and will be seen as a must-have accessory by many existing Apple customers.

Post and thumbnail images courtesy of Todd Hamilton

  1. Always think ahead at Apple.
    Leslie

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  2. Laughing_Boy48 Friday, July 4, 2014

    Samsung can barely give away their Galaxy Gear smartwatches. I can’t imagine how Apple will be able to sell millions of these “iWatch” devices. It seems like a market that almost no one is asking for. I wish Apple a lot of luck because I’m sure they’ll need it for their device to be a long-term sales success.

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    1. Jacques Cousteau Friday, July 4, 2014

      You’re assuming Apple’s definition of “wearable” is the same as Samsung’s.

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    2. Point me at a single product that Samsung has lead the market with that has been a market-maker. I don’t know of any. That’s not what Samsung is good at. Samsung is a fast follower. That’s what they’re good at.

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  3. It is interesting to see the kind of dilemma a ‘Luxury Buyer’ will be in while deciding to buy his next watch — A $30000 Tag-Heuer/Hublot (which shows nothing more than time) which he can show-off OR a $300 iWatch (which shows much more time) which every one around him will be wearing ? How do they differentiate themselves from the ‘masses’ – May be by wearing a Tag-Heuer on one wrist & an iWatch on the other ?
    Is the real value addition from these ‘poached’ senior executives going to be in creating an appeal to both masses & classes ?

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  4. Shawn Behnam Sunday, July 6, 2014

    If the iWatch monitors glucose levels, it will be a major game change.

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    1. Sathish Rao Monday, July 7, 2014

      And Blood-pressure too..

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