It's not just the notorious Apple tax pushing the price tag well beyond $349, it's the components involved. For example, the all-metal Link Bracelet has 100 components and takes an insane nine hours to cut.
Apple also recruited high-profile people throughout the watch and biometrics industries who have wound up on its AppleWatch team. That talent comes at a price.
Then there's a hidden cost. While a subsidized iPhone 6 and iPhone 6 Plus are cheaper upfront in the US, stores make up the difference with contract kickbacks. Not so with a smartwatch. Stores need a cut too.
For the sake of comparison, Android Wear's initial watches were the Samsung Gear Live at $200 (£170, AU$250) and LG G Watch at $230 (£160, AU$250). The more stylish Moto 360 is priced at $249 (£199, AU$329) and LG Watch Urbane is set to be even more expensive.
Apple is clearly aiming for luxury given the sapphire glass-protected display, an imposing digital crown, two sizes and even the 18k gold edition.
- See: All 38 Apple Watch designs: Every band, case and face so far
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