Smartwatches are a hot topic at Baselworld

Smartwatches were hardly spotted at the just-ended Baselworld 2014, the week-long annual watch show - but they were a hot topic of discussion.

Swiss watch executives at the show held in Basel, Switzerland, were pretty relaxed about the phenomenon of wearable computers that carry out functions beyond time-keeping, and pointed out that the technology still seems to need refining, but they are watching the smartwatch industry with interest all the same.

Sales of smartwatches have been slow to get off the mark since the first model was launched in the middle of last year, said Gerard Tan, the account director for Digital World in GfK Asia.

The global marketing research firm, which tracks smartwatch sales, noted that around US$345,000 (S$432,000) in smartwatches were sold globally in January and February this year.

Here in Singapore, nearly 1,400 pieces were sold in that time.

Mr Tan said: "Singapore, with its status as a modern and developed country, has been chosen as one of the first markets in the region for manufacturers to launch their initial models of smartwatches."

He attributes the slow take-up rate for smartwatches to their limitations in choice and features, but said demand for them will rise as they get smarter.

But will there come a point at which they pose a threat to traditional mechanical timepieces, the same way that Japanese quartz watches almost wiped out the Swiss watch industry in the 1980s?

For now, no, it would seem.

TAG Heuer's chief executive Stephane Linder told the Financial Times: "I had my technicians buy some smartwatches to see what they were like, but the interface is not yet that good, and you need to have your phone nearby.

"And the idea of having to charge luxury watches kills the dream a bit."

Japan's Casio had two new smartwatch models on show at Baselworld. Its Bluetooth-controlled Edifice watch connects to smartphones, and can adjust to time changes as smoothly as the device in your pocket; its new G-Shock model can synchronise with the time signals broadcast by radio stations or satellites.

Harald Schroeder, Casio Europe's head of marketing, told AFP: "We expect huge demand because people nowadays look for this technology more and more, so we are very confident."

Asian tech giants such as Samsung, Sony and Huawei have also unveiled new connected timepieces in recent months.

The Swatch Group teamed up with Microsoft a decade ago to produce Paparazzi - what it claimed was the pioneer of smartwatches. It proved to be a flop.

Swatch's chief executive Nick Hayek told reporters recently that smartwatches raise more problems than mechanical timepieces.

These include their limited battery life and the fact that they are "trackable" by the National Security Agency and other intelligence services.

"People don't want these complications," he added.

Still, TAG Heuer's Mr Linder sees reason to keep an eye on developments, because the technology has the power to reshuffle the deck - just as Apple did when it dethroned the reining mobile phone companies with its iPhone.

This article was published on April 12 in The Business Times.

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