Both
The New York Times Bits blog and
the Wall Street Journal have reported that Apple is currently developing a smart watch. According to anonymous sources, the company is experimenting with "wristwatch-like devices made of curved glass" that would operate on Apple's iOS platform in its Cupertino headquarters.
Source: http://feedproxy.google.com/~r/Techcrunch/~3/oa9qPHl-Ua0/
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