Both Apple and Google have independently spent the last year developing and testing wearable devices which will augment and extend the functionality of smartphones, according to a New York Times report. Like a more advanced version of the Motorola ACTV, these devices would send and receive data from your smartphone, which would act as the information hub — handsets would largely stay behind the scenes and users would interact primarily with these wearable peripherals.

Apparently, some Apple employees are even wearing and testing prototypes of these devices, one of which is described as a "curved-glass iPod" that wraps around the wrist and responds to commands using Siri. Meanwhile, Google's reportedly hiring designers from Apple and Nokia who specialize in miniaturization, and its recent purchase of Motorola could certainly bolster these efforts. There's no timeframe on this next step in smartphone evolution, but we're hoping to see something from both companies soon — iPod nano watches are cool, but would be even better if they could communicate with an iPhone.