gmt-time points to this New York Times article
with a report from the in-progress Consumer Electronics Show, excerpting "Microsoft, continuing its effort to extend its reach beyond computers, today introduced designs for a new class of watch that gives more than the time and a pocket audio and video player."
According to the article, several manufacturers are committed to producing both the watches (mentioned yesterday as well
) and the audio/video players. I wonder if they'll play Ogg Vorbis and my DivX;) files ...