Apple Watch Demand Apparently Rising, Not Falling

According to Philip Elmer-DeWitt, a new report from Morgan Stanley’s Katy Huberty suggests that Apple Watch demand is on the rise, not falling as recently reported by KGI Securities’ Ming-Chi Kuo:

Huberty’s track record is also mixed, but it’s longer, and she always errs on the side of caution. Her current estimates are based on Morgan Stanley’s AlphaWise surveys, which analyze Web searches to measure consumer interest. In three consecutive surveys — December, March and May — consumer interest in the Apple Watch has only grown stronger. In the most recent report, 17.3% of iPhone owners said they would definitely buy an Apple Watch and another 7% said they probably would. (See chart.)

Previously, her 12-month projection was about 30 million. Now, she’s raising it to 36 million, more than double Kuo’s estimate, based on the available information. Call me crazy, but 36 million in 12 months sounds insane. But then again, this is Apple.