They should have gone for the masses instead of selling it as a jewelry. Look to which companies they compared their sales in the keynotes (Rolex, Patek Philipe, ...). The stainless steel one could be considered a piece of jewelry. The sport one should be extremely attractive to the masses so it attracts more developers, who could come up with much broader support. More developers = more possible apps which could work as the missing "killer" app. I would stop the mess with Series 1 and Series 2, keep only the Series 2 versions around. Pricing has to be attractive: $199/$229 or $229/$249 for 38/42mm. Drop the price of the Sport bands from $49 to $29.