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Swatch loses about $ 1 billion in market value after Apple Watch Series 3 announcement – and the trend is getting worse

To introduce the new generation of the Ma watch, the Apple Watch Series 3Tim Cook began his presentation last Tuesday showing where the company ranks in the world's best-selling watch ranking. (Spoiler: 1st place).

In every market Apple enters, potential competitors shudder, which is quite understandable as the most valuable company in the world. And it was no different when Ma entered the watch industry, so much so that one of the creators of Swatch admittedly stated that they "would be in danger".

For now it seems that this has come true: as soon as Apple unveiled the Watch Series 3, its watchmaker's actions about 4.5%losing about $ 1 billion of its market value, as stated in the Business insider.

Swatch Watches

This reaction may portray the challenges that some watchmakers are facing in competing for supertech watches. In an interview conducted by BloombergKepler Cheuvreux analyst Jon Cox talked about the new thing in a way that was not favorable to his manufacturer:

The fact that the new watch has removed the dependency on the phone has the potential to be innovative. a fight for a place on the wrists and great features against a simple quartz watch. In many cases, the quartz watch will lose.

To add more fuel to the fires of this battle, another analyst (Luca Solca of Exane BNP Paribas) stated that smart watches are “far from a fad” that they “are here to stay” have continued to update their functionality and the announcement of the Apple Watch proves it. ”

The same manufacturer has clashed with Apple when it was reported that it would use the name "iWatch." Perhaps to really affront, Ma also put the manufacturer against the wall when she decided to use the slogan Tick ​​different for looking a lot like the famous “Think different”. That is, maybe this rivalry is only making things worse for your manufacturer.

If we look at it, surely smartwatches (not just Apple's, of course) will continue to gain more and more space and be updated repeatedly. The centuries-old watch industry!