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Unlike general accessories, smart accessories will interact with a handset or smartphone through standard or proprietary communication protocols (audio, USB, Bluetooth, Wi-Fi, Ant+, etc.) and an application that will leverage the processing capabilities of the handset or device. This report examines the business considerations relating to the development of smart accessories by handset OEMs and 3rd party accessory manufacturers. The technical enablement of smart accessories throughout the Bluetooth GATT architecture is discussed. Key emerging smart accessory segments such as fitness monitors, smart watches, and other Bluetooth accessories are forecasted through 2018.