Apple Watch sales appear to have rebounded for the holidays from mid-year doldrums on a redesign, price cuts and strong promotions, but analysts say long-term demand has yet to be proven.
The Watch is Apple's first new product under Chief Executive Officer Tim Cook and is seen as a barometer of whether the company can find new sources of revenue to boost sales which now largely depend on the iPhone.
Cook told Reuters on Monday that Watch sell-through - a measure of how many units are sold to consumers, rather than simply stocked on retailers' shelves - reached a new high during the first week of holiday shopping.
Cook's comments followed a report on Monday from technology research firm IDC that painted a more alarming picture, estimating Watch sales fell 71 percent in the third quarter of 2016.
The sharp change in seasonal demand, also revealed in separate data from market research firm Slice Intelligence, amplifies some analysts' concerns that the Apple Watch may not be a formidable hit on the order of the iPhone or iPad.
"Let's see if the demand carries through to the next quarter," said analyst Colin Gillis of BGC Partners.