Apple is expected to release the Apple Watch this March, but the company still needs to demonstrate its value to would-be buyers, according to Piper Jaffray's Gene Munster.
"We believe Apple needs to answer 'What is the value of the Watch?'" Munster said in a Monday note.
Since the Apple Watch will only work in conjunction with the iPhone, Apple needs to show how its smartwatch will make our lives convenient in a way the iPhone doesn't already.
Munster thinks developers will unlock the Apple Watch's full potential over time, like they did with the iPhone.
"We believe the first true breakout quarter for the Apple Watch could be in Dec-16 as it would give both developers and consumers a little more than a year and a half to understand the watch's value," he said.
Munster says Apple could sell 8 million watches by the end of the year. But he says we may have to wait another year or so until we really see what the Apple Watch has to offer.
