Google Will Dominate Wearable Market Starting This June

"They'll be announcing [an] operating system for wearable devices. They'll be announcing a wearable SDK (software development kit) where developers can create their own applications. And they will have a stunning smart watch called Moto 360."

Developers On Board With Google

That's the reason why we said that Apple has only 60 days left to come up with an iWatch. If it comes after that, it's too late and they can probably just cancel their product. In this Internet era, the fast will always beat the slow, and the winner takes all." It is possible that Apple could surprise consumers -- and its competitors -- with an iWatch event before Google's unveiling. But the development community doesn't expect that to happen. "It's very important to keep the developers abreast," said Chowdhry. "The developers just don't think an iWatch or a wearable SDK from Apple is going to come anytime soon. That is the reason why they have already migrated to Google." Chowdhry also expressed doubt about the rumors claiming that Apple will dive into mobile payments. "They need to get the Passbook application improved," said Chowdhry. "Second, they need to get the iBeacon framework improved. They have lost the iBeacon to Qualcomm's Gimbal framework. Passbook is not getting traction in the developer community. They can come to [market], but I doubt there will be any traction in that product because they haven't got the whole ecosystem ironed out." Disclosure: At the time of this writing, Louis Bedigian had no position in the equities mentioned in this report.