Apple Inc. COO Jeff Williams discusses the Apple Watch Series 2 during an Apple media event in San Francisco, California, U.S. September 7, 2016.

is reportedly gearing up to launch a new Apple Watch, presumably the Apple Watch Series 3, during the second half of this year.

DigiTimes, which keeps its ear close to the ground within the tech giant's supply chain, said Wednesday that Chinese company Compal Electronics will start to shoulder some of the Apple Watch Series 2 manufacturing, which is currently built entirely by Quanta Computer, also in China. Compal reportedly decided to help manufacture Apple Watch units after a decline in demand for laptop computer manufacturing.

The report suggests that Quanta Computer will continue to handle manufacturing of Apple's new Apple Watch Series 3, which DigiTimes said will launch during the second half of this year.

DigiTimes can be hit or miss when it comes to supply chain rumors, but the second half release of an Apple Watch Series 3 makes sense.

Apple introduced the Apple Watch Series 2 in September 2016 and Apple typically launches new products on an annual cycle. We're expecting Apple's new iPhones in September and, given the Apple Watch's status as a primary iPhone accessory, it wouldn't be out of the question for Apple to introduce the device side by side.

It did that last year when it unveiled the Apple Watch Series 2 and the iPhone 7, after all.