a16z Podcast | Apple Watch -- Looking for New Things Done in New Ways

Product Positioning and Categorization

• Benedict Evans characterizes the Apple Watch not as a "smartwatch" but as a "luxury good" or "accessory," arguing it must be a pleasant object to own before utility is considered.
• Steven Sanofsky notes the device spans multiple categories: exercise monitor, timekeeping device, and risk-based computational device, defying predefined category notions.
• Evans compares the purchase logic to buying furniture (a lamp or table) rather than a necessity, suggesting a price spectrum from $350 to $10,000.
• The entry-level price point ($350) is identified as the lowest for any Apple product, contrasting with the luxury tier.

User Adoption and Initial Impressions

• Sanofsky transitioned from skepticism (citing a dislike for notifications and not wearing watches for years) to finding the device "not a giant waste of time."
• Both speakers observe a delay in the "wow" moment, describing adoption as a series of small, incremental, and delightful discoveries over one to two weeks rather than an immediate paradigm shift.
• Sanofsky reports increased awareness of being a "leading edge" user, noting strangers in Palo Alto recognized the Apple Pay gesture and engaged him in focus-group-like conversations.

Key Use Cases and "Magic" Moments

• Boarding Passes: Cited by both as a primary utility where the watch refactors a desktop/mobile experience into a seamless, "floating" on-wrist interaction that eliminates phone retrieval.
• Navigation: Evans describes turn-by-turn walking and driving directions as a "killer app" and "superpower," allowing users to keep phones in pockets while receiving subtle wrist taps for turns.
• Communication: Sanofsky identifies emoji usage and text-to-speech as magical, noting the latter's radical improvement via software update four days prior to the recording.
• Apple Pay: Sanofsky admits convenience but notes he rarely uses it initially due to deep-seated habits of using his phone, though he acknowledges the watch is becoming his primary device for quick interactions.

Notifications and App Design Philosophy

• Sanofsky argues that current notifications are "highly problematic" when they lack actionable "verbs," leaving users with information they cannot act upon without retrieving a phone.
• The ideal notification model requires a clear action endpoint; otherwise, users should rely on app badges.
• Evans warns that first-wave apps often fail by trying to "squeeze" smartphone functions onto a small screen rather than identifying the single fundamental utility of the watch.
• The "Dematerialization of Notifications" is a core concept: the watch allows users to glance at a buzz, make a quick decision, and dismiss it without the physical motion of retrieving a phone.

Social Norms and Behavioral Friction

• Evans contrasts the watch with Google Glass, noting that raising a wrist is less socially intrusive than looking up at one's face in a group conversation.
• Both speakers agree that social norms will evolve similarly to laptop usage in meetings, moving from "boredom signals" to acceptable glanceable interactions.
• Sanofsky highlights the "motion sensor" advantage: the watch turns on when raised and off when lowered, reducing the friction of interaction compared to the phone.

Platform Strategy and Future Trajectory

• Evans predicts Apple's strategy will leverage "continuity" (similar to OS X Yosemite) to make the iPhone more useful, allowing workflows to start on the phone and finish on the wrist.
• The platform relies heavily on local data (Calendar, Mail, Messages) for personalization rather than purely cloud-based AI, mitigating privacy concerns.
• The "untethering" of the watch from the iPhone is identified as the critical next challenge, described as a "big physics problem" regarding battery life and connectivity that Apple intends to solve over time.
• Sanofsky suggests the device is evolving into a "consumption tool," with users reading full emails or consuming content without needing to power a larger device.