Tag Heuer To Release Smartwatch

Luxury Swiss watchmaker Tag Heuer is to join forces with Google (Xetra: A0B7FY - news) and Intel (Swiss: INTC.SW - news) to make a smartwatch that will compete with the recently announced Apple Watch.

Chief executive Jean-Claude Biver said the watch is expected to be released by the end of the year and will use Google's Android operating system.

"Silicon Valley and Switzerland are going to conquer the market of the connected watch," Mr Biver told a press conference at the Baselworld watch and jewellery fair in Switzerland.

He declined to reveal any details about the price, functionality or design, except the tentative launch window.

Mr Biver said: "We don't want the competition to know what we are going to do.

"We want them to be surprised."

Michael Bell, vice president of Intel's New Devices unit, sounded a confident note about the potential of the technology.

He said: "We believe wearable technology will take off as it represents who you are and how you want to be seen."

The Swiss brand is the first premium watchmaker to be drawn into the smartwatch market.

Analysts suggest the move has been triggered by Apple (NasdaqGS: AAPL - news) 's upcoming gold Apple Watch Edition, which has an 18-carat gold body and will start at £8,000.

The Apple Watch will go on sale from the end of April.

Ben Wood, from technology consultancy CCS Insight, said: "Tag Heuer has become the first of the Swiss watchmakers to be seduced by the allure of the smartwatch opportunity.

"The palpable buzz around the Apple Watch has raised consumer awareness levels to a point that traditional watchmakers can no longer ignore this emerging opportunity."