According to Chinese gadget news source Tech.163, Apple could be developing a new smart watch that will connect to iOS devices via Bluetooth. The report suggests the device could be outfitted with a 1.5-inch AMOLED display manufactured by RiTDisplay with ITO-coated glass. Although little is known about the purported watch’s specs, Intel is rumored to be working with Apple on the project.

“Apple appears to be aspiring to attack a budding sector of the mobile market,” reports Digital Trends. “Wristwatch devices are beginning to gain popularity among users, with products such as Sony’s SmartWatch and the Pebble Kickstarter project that blew up on the crowd sourced Web platform earlier this year.”

The Pebble project generated more than $10 million on Kickstarter. Users can customize the Pebble smart watch interface and download apps directly. It connects to iPhones and Android devices. Sony’s Android SmartWatch comes in assorted colors and lets users check messages, calendars and Facebook updates.

“Apple isn’t the only company reportedly dipping into the wearable technology market,” notes the post. “In September, Microsoft patented what looks to be a wearable video game controller for its Xbox gaming console. Samsung has also been working on bendable, unbreakable displays for quite some time that could pave the way for wearable devices.”

Tech.163 reports that Apple has plans to launch the rumored smart watch at some point in 2013.