I have to admit that it looks better than all those people smearing fingers on their smartphones.
Voice recognition obviously works, and sadly Geo-location will probably work too.
In Fact Motorolla has already presented an Android watch
It is interesting to see the innovation at Google. They come up with new and "crazy" stuff all the time. Compared to that Microsoft's attempts to make it on the phones look "old fashioned".
Samsung and LG are also working on Android/Linux watches - Microsoft will probably never get Windows on a watch so they will have to claim that this only works because Google is using MS technology.
That in itself is no problem for the customers because Microsoft has not been able to produce one single piece of evidence to to that effect.
The following threat of suing everybody that does not pay MS is a problem though. MS can only do that because they are big and strong. (Like the Bullies in the school yard that steal lunch money from little kids).