The Smartwatch is Sony's 2nd-Gen Android accessory (this is the successor to the LiveView) - with a 1.3" PMOLED (65K colors) display. Other features include an accelerometer and a vibrate option. You can use this device to control your phone, read messages, get weather updates and more.
The SmartWatch is now shipping for $109. The original LiveView, by the way, is now down to only $22.
Here's Sony's official video showing the Smartwatch:
1.3" PMOLED (65K colors)