An Apple Watch 3 is already in the works and we should not be surprised to see it come out alongside Apple's 2017 iPhone that is scheduled to launch this coming fall.
A report from Chinese-language site Economic Daily mentions the release of the next-generation Apple Watch, which should boost Quanta Computer's revenues. The company was the primary manufacturer of the previous two Apple Watch generations, a position it will retain for at least one more Apple Watch model.
Compal Electronics will also manufacture watches for Apple, although it’ll only handle older-generation models, not the Apple Watch Series 3.
The Apple Watch is the most popular smartwatch available to-date and Apple sold nearly 12 million units last year, which gave it 49% of the market, according to a February report from Canalys. In early May, Tim Cook said during the company’s most recent earnings call that Apple Watch sales doubled year over year, without specifying any numbers.
With all this in mind and considering the fact that there is a brand new watchOS update in the works, it makes sense to see Apple Watch 3 accompany the new iPhone launch this fall.