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It could also scare off potential buyers, affect the stock price, and make everyone who already has one wonder if theirs is defective.

Not to mention investors that have a big stake in the company that is producing the engines.

A bit of a mess for all involved.
 
Not to mention investors that have a big stake in the company that is producing the engines.

A bit of a mess for all involved.

It's not a particularly big deal for Apple yet as I doubt they expected to sell a lot of watches this quarter, anyway (seeing as it's going to be reported in Other). It may be $1 billion of revenue when they just guided to $46-48 billion. However, for the supplier it could be a huge issue.
 
They should take a picture of the bin that they used to scrap the defective watches and send it in an email that says "The Apple Watch is Here."
 
I'm not sure I totally understand why they would scrap an entire watch due to one faulty component... Wouldn't it make more sense to replace the taptic engine? I'm definitely not a manufacturing expert...
 
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