Where are they likely to go? Well, a larger iPhone is guaranteed I'd submit. A larger iPad? That's a different matter. I've yet to be convinced on that one.
Then there are unsexy sounding areas like watches and TVs: I think watches and TVs aren't going away any time soon and both are areas of innovation ripe for tapping. Besides Kuro owners, no one loves their TV. That's a problem. TVs are way too complex and the average living room has too many remotes (more than one is too many) or one of those ghastly, ghastly universal remotes that needed programming. Problems that can only be solved by creating a great, simple, sexy, integrated television, which Apple could do. It's the way forward and ultimately the only way I see this space going. You think the console wars are tough? The AIO TV wars will be a blood bath.
My own personal view on the iWatch is it actually has to be a music player first and formost (something Apple may or may not realise). And to do that one of the bigger innovations we need in that space are sexy, wireless Apple EarPods of some kind that charge easily and probably magnetically. I'm thinking wireless in-ear headphones, like those ones that don't exist.
Now, getting back to what I think Apple 'should' do? I believe they should make a decent wireless light bulb (I'm deadly serious) that can be set up and connected to your network by simply turning it on for the first time and tapping your iPhone against it, whereby you'd receive an on-screen success notification, and from that point on iOS would take care of the rest via the built in Apple designed bulb management app that is easily accessible via Control Centre. I'm talking no additional hardware required besides the bulb and your iPhone; no bridging hardware, and for the love of God no ridiculous gimmicks or colour light options. You don't just add wireless to your bulb to make it a complicated, gimmick-ridden mess. You add wireless to your bulb to help simplify your life. Something nowhere near achieved at this point.
Edited by Ireland - 1/14/14 at 5:08pm