Apple told investors earlier this month that sales of the Apple Watch have far exceeded its own internal expectations, but some of the companies that are making parts for the new wearable are claiming that they can’t even break even because demand is so weak.
Taiwan’s Advanced Semiconductor Engineering (ASE) which makes the system-in-package case that contains Apple Watch’s array of sensors and chips, told investors during a conference call that it still hasn’t reached “break even volume” of two million units per month.