TAG Heuer Teases Smartwatch
On the same day that a mysterious image of the TAG Heuer smartwatch appeared on Twitter, CEO Jean-Claude Biver was interviewed on CNBC discussing the effect of wearable devices on the luxury watch industry. This was probably not a coincidence since the outspoken exec is sure to be looking for media coverage of the brandโs first connected device ahead of its November release.
The image shows just a sliver of the coming luxury smartwatch but itโs enough to start talk about the future of Swiss watches as the makers of fine timepieces meant to last for decades face competition from devices with a much shorter lifespan. Biver touched on this subject in the interview, pointing out that his industry is looking at a โtsunamiโ but qualified the statement with โin the price segment, between say $200 and up to eventually $2,000.โ
Biver went on to diss the $10,000+ Apple Watch Edition, saying, โAbove $2,000, the connected watch has a huge problem. There is no eternity, it means it will become obsolete and who wants to buy a $10,000 – $20,000 watch that becomes obsolete after five or 10 years? So the eternity in a boxโthatโs how I call a mechanical watchโitโs eternal! Itโs like Big Ben. Big Ben is working after 150 years!โ
Itโs interesting that the TAG Heuer CEO would choose $2,000 as the dividing line after which a smartwatch becomes too expensive, since the companyโs own wearable device has a projected price tag of $1,400 to $1,800.
Biverโs points are hard to argue with since the lifespan of tech items like smartphones and tablets range from one year (when it becomeโs โlast yearโs modelโ) to about four-five years (when it no longer works with the current software). The sweet spot for a smartwatch is likely to fall in the $300 to $1,000 range but weโll need to see more models (and their sales figures) to be sure.
