From what I can tell, Apple Watch apps act like a remote control to a nearby iPhone using Bluetooth or BLE.
Conversely Android watches have the ability to run full applications, and therefore have a local storage component.
Some regulations require that data be encrypted locally, and this is an extension of Activesync Exchange policy. In addition, it's possible to remotely wipe a phone.
- Do either Apple Watches or Android Wear have local storage, or cache data from the connected phone?
- Is there an ability to encrypt, and wipe that cached data?
- What is the privacy of the data on the device? Can an app on the phone read all data on the watch? What constraints exist?
- If the watch connects to the internet, is an always-on VPN an option? (some phones have this)