Story highlights Samsung expected to announce wristwatch-sized smartphone September 4

Called the Galaxy Gear, the device would handle e-mail, phone calls and web surfing

All the major tech companies are racing to release wearable computing devices

Samsung may be the latest company to enter the red-hot wrist-tech market. The South Korean company is planning to announce a new smartphone device that's worn on the wrist in September, according to a report from Bloomberg

The Android powered device will be called the Galaxy Gear and will be able to handle the smartphone basics: phone calls, Web surfing and e-mails, said the report. Samsung will announce the product at an event on September 4, just ahead of the big IFA consumer electronics show in Germany.

Samsung declined to comment on the report when contacted by CNN.

It would be no surprise that Samsung is investing in wearable technology, which could be the next major gadget category. The wearable tech market is expected to hit $1.5 billion in 2014, a huge leap from the $800 million it's raking in this year, according to a report by Juniper Research.

Wrists are the most popular body part for the coming wave of wearable devices, followed by heads. The dream of a smartwatch has been around in popular culture for decades -- cartoon detective Dick Tracy had an early version of one -- but recent advances like smaller, cheaper sensors and low-power Bluetooth technology are finally making it possible to pack powerful features into tinier shells.

Photos: Photos: A brief history of smartwatches Photos: Photos: A brief history of smartwatches The battle of the smartwatches – The Pebble Watch first gained attention by pulling in more than $10 million on Kickstarter. Pebble connects to an iPhone or Android phone via Bluetooth and has a growing selection of its own apps. Hide Caption 1 of 11 Photos: Photos: A brief history of smartwatches The battle of the smartwatches – Unveiled by TomTom in 2013, the new Nike+ Sportwatch colors have been chosen to match Nike's apparel and shoe ranges. Features include an extra-large display, a graphical training partner and a one-button control. Colors include black/anthracite, anthracite/blue glow and volt green. Hide Caption 2 of 11 Photos: Photos: A brief history of smartwatches The battle of the smartwatches – The Italian-made aluminum "I'm Watch," announced at the 2013 Consumer Electronics Show , sells for $249. It comes in seven colors and runs the Droid 2 operating system. It connects to Android smartphones using Bluetooth. Hide Caption 3 of 11 Photos: Photos: A brief history of smartwatches The battle of the smartwatches – A full-color touch screen device, the $130 Sony SmartWatch only syncs with Android devices. When paired with a phone over Bluetooth, it can receive notifications for email, texts, social networks and calendars. Hide Caption 4 of 11 Photos: Photos: A brief history of smartwatches The battle of the smartwatches – The Motoactv smartwatch is marketed as a fitness tracker. It acts as a heart-rate monitor and pedometer, has GPS and an MP3 player. There are also a number of off-the-wrist mount options, including a handlebar strap, armband and chest strap. Hide Caption 5 of 11 Photos: Photos: A brief history of smartwatches The battle of the smartwatches – The MetaWatch has a retro-looking, black-and-white screen, but it can connect to newer iPhones in addition to Android devices. It is also a water-resistant sports watch that tracks pace and distance. The watch starts at $179 and is available with various colored bands or in black or white leather. Hide Caption 6 of 11 Photos: Photos: A brief history of smartwatches The battle of the smartwatches – J.K. Shin, head of Samsung Mobile Communications, presents the Samsung Galaxy Gear in Berlin in 2013. Six months later, a second-generation watch featured a new operating system and more processing power. Hide Caption 7 of 11 Photos: Photos: A brief history of smartwatches The battle of the smartwatches – The Samsung Gear S, the company's third-generation smartwatch, made an advance many users, and reluctant nonusers, had been clamoring for. It has 3G connectivity and can be used without tethering it to a smartphone. Unveiled August 27, it is scheduled to ship in October, with no price yet announced. Hide Caption 8 of 11 Photos: Photos: A brief history of smartwatches The battle of the smartwatches – The long-rumored "iWatch" from Apple could take the same approach, or, like others, require a connection with a smartphone. Health and fitness apps are expected to be front and center on the new device. Hide Caption 9 of 11 Photos: Photos: A brief history of smartwatches The battle of the smartwatches – Apple's products have already been used as de facto smartwatches. The iPod nano's small, square touchscreen was a natural fit for the wrist. Spotting the potential to turn the iPod into a watch face, companies such as Lunatik make kits that included mounts and slick straps. Hide Caption 10 of 11 Photos: Photos: A brief history of smartwatches The battle of the smartwatches – Apple is expected to roll out its entry in the field this week. Could it look like this concept design? Hide Caption 11 of 11

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There are still limitations, and the current crop of wearables are primarily satellite devices that need to pair up with a nearby smartphone to access the Web. If Samsung's Galaxy Gear is more smartphone than accessory, it could stand out from the competition.

All the major companies are angling for a piece of the action. Apple is likely developing its own smartwatch, Microsoft is rumored to be producing a prototype smartwatch that would run Windows 8, and Acer says it will release a wearable device in 2014, though it did not specific what type.

Sony, Pebble, I'm Watch and other manufacturers already have smartwatches on the market.

Meanwhile, Google is working out the kinks on Google Glass, its connected headset due early next year.

Simple wearable fitness devices like the FitBit are already extremely popular and many of their features, like monitoring heart-rate or tracking movement, will likely be included in the bigger products.