Re: It will be neither a hit nor a flop
@Soozyg - I see what you're saying but the control doesn't need to be via the watch screen; that's what the "dumb" terminal / handset would be for. I think the key point is about use case, when would I need a device that I wear as opposed to one that I carry? When I'm exercising perhaps? Maybe at events where discretion was required and a glowing screen was perhaps a little indelicate?
I suppose existing watch / handset combos address that functionality to an extent, you just need to have the handset with you to have anything useful happen with the watch.
If instead the functionality comes from the watch, then the screen (or whatever display device you want) becomes the accessory, picture having a $100 phone sized screen for home use and another for the office, a $100 tablet sized screen and just for the heck of it something a little larger at home. Now I get acess to all my stuff on all my "devices" because they're basically only one device.
Think of the implications for BYOD... part of the challenge that organisations face is the proliferation of devices, now we're down to one device and multiple displays. Managing identities related to one device is a bit simpler that multiple identities shared across many devices.
It's going to be interesting. I feel the large companies (Samsung and Apple) will market hard and aggressively against this concept - can't have someone disrupt $700 handset sales after all, especially if it means the $700 accessory sale for the watch disappears too.
However, if it gets some space in the market and if developers catch on we may see some really interesting things happen as new types of displays start to come on line...