The watch itself is significant because it is an indication that traditional watchmakers will have to provide some sort of smartwatches. But what is interesting from a technology angle is that it is a coup for Intel’s Internet of Things.
The TAG Heuer Connected watch has an Intel Atom Z34xx SOC which has a peak frequency of 1.6GHz but TAG Heuer notes that the nominal frequency will be more like 500MHz. It also has a 1GB of RAM and 4GB of NAND which is double what is normally seen in Android wear projects.
The display is 1.5" 360x360 LCD, 240ppi. The 410mAh will run for a couple of days.
What is weird is that the while the watch has an accelerometer and a gyroscope, it does not have a heart rate monitor or GPS. This rules it out as being useful for the fitness market. The watch is also advertised as having IP67 water resistance. Apple's approach to smartwatches has been to try and stuff everything it can into its designs, which turns out not to be that much. It appears that real style is based on a wearable not doing much at all.
The Connected is based on TAG Heuer's Carrera mechanical watch, and after two years the company will allow you to trade in your Connected along with $1500 to receive an actual Carrera. This seems to suggest that the company thinks that users will give up their smartwatches eventually and go back to the real thing.