A fan mock up of the iWatch Sourcebits The iWatch is going to be very expensive, says KGI Securities analyst Ming Chi Kuo in a new note.

Kuo predicts some models of the iWatch will cost over $1,000 when it's out in the third quarter. Kuo's report was written up at MacRumors and Apple Insider.

Here is MacRumors' write-up of his note:

Kuo believes the iWatch will ship during the end of the third quarter, offering biometric functionality, integration with the iPhone, iPad, and Mac, and a "fashionable appearance." As has been previously suggested, he predicts the device will come in two sizes, with a 1.3-inch and 1.5-inch flexible AMOLED display. It will also include a sapphire cover lens, biometric recognition, an NFC chip, wireless charging, a 200 to 250 mAh battery, and a slim and light design.

MacRumors quotes Kuo's report directly as saying:

"Fashion is the name of the game; most expensive model likely priced at several thousand US dollars. Referring to the rules of the fashion market, we predict the iWatch casing and band will come in various materials. The most expensive model of the iWatch line will carry a price tag of several thousand US dollars."

Last year, Kuo proved himself to be an excellent source of Apple hardware news. He wasn't perfectly accurate, but he had the broad outlines correct.

We'll be stunned if Apple releases the iWatch at price points over $1,000.

Apple is a consumer technology company that delivers mainstream products. There's nothing mainstream about a $1,000 smartphone accessory.