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If there is one that works by itself (ie it's the same as a smartphone but smaller and comes with a wrist strap) then I think it could be pretty good... you are sacrificing screen size, and possibly some functionality, for it to be slightly easier to use and harder to lose/drop etc.

Personally I don't mind losing the bells and whistles stuff... what I want out of a smartphone is calls/text/camera and a browser. But I wouldn't like browsing on such a small screen.
Actually come to think of it typing with one hand on such a small screen would be an issue too, probably have to revert to the old phone keyboard style (triple tap '2' to get 'C' etc)... maybe that's why most of the actual ones are just tie-ins for proper smartphones.