Connected Experiences, Inc., the business arm of Qualcomm Inc. (QCOM - Free Report) , will start shipping its Toq smartwatch from Dec 2. The device has been priced at $349.99 and will be sold through the website toq.qualcomm.com.
Though Toq is neither a smartphone nor a tablet, the device can synchronize with the user’s smartphone, enabling texts, phone calls, and alerts from Facebook and Whatsapp.
Toq’s screen has Mirasol display technology, thereby allowing clarity in display even in daylight. It is powered with Qualcomm’s 200 MHz Cortex M3 processor and is compatible with Google Inc.’s Android devices. It is also expected to support Apple Inc.’s (AAPL - Free Report) devices in the future.
It is available in black and white with a wireless Bluetooth headset and battery charger. Qualcomm will offer a limited numbers of its much-hyped smartwatches initially, to create market demand.
Qualcomm is not the first to launch such an innovative watch. Even Samsung launched a similar smart accessory called Galaxy Gear smartwatch costing $300 in Oct this year.
However, as per industry research, Samsung’s Galaxy Gear smartwatch had a terrible start with just 50,000 units sold. Limited applications and poor battery life resulted in the disappointing sales figure. Moreover, it was only compatible with Galaxy S3, S4, Galaxy Note 2 and Note 3.
It is also rumored that Apple is planning to launch iwatch which may pose competition to Qualcomm’s Toq smartwatch.
Most high-end smartphones are powered with Qualcomm’s Snapdragon processors as the company is one of the leading suppliers of LTE-based chipsets. The popularity of Snapdragon processors will further gain traction as recently launched handsets like Samsung Electronic’s Galaxy S4, Sony Corp’.s (SNE - Free Report) Sony Xperia Z and BlackBerry Limited’s BlackBerry Z10 are using it.
Currently, Qualcomm carries a Zacks Rank #3 (Hold).