One of many iWatch concepts.

One of many iWatch concepts.

The China Times is reporting that Apple has begun production of the iWatch. This is in preparation for a launch later in the year, widely rumoured to be sometime in the third quarter.

GforGames translated the report, noting that the iWatch will use a different kind of chip layout for miniaturization purposes.

According to supply chain sources cited by the Chinese media, Apple has already started producing the iWatch in small quantities. The smartwatch will allegedly be ready for launch in the second half of 2014, but more importantly, these fresh reports also claim that the iWatch will be built using SiPs (or system-in-package modules) as opposed to traditional PCBs (Printed Circuit Boards)

9to5Mac first reported the iWatch will use a new process for its chips, over three months ago, in January.

Sources also hint that Apple has developed technologies to be able to pack several different sensors into a single chipset for miniaturization purposes.

This should enable Apple to make the footprint of the device as small as possible, a key advantage over other wearables. The wearable market has heated up significantly recently, with the unveiling of the Moto 360, a smartwatch that has caught many people in the tech industry off guard for its use of a novel circular display.

9to5Mac has posted exclusive coverage of the iWatch many times in the past. It seems likely that the iWatch will integrate with the upcoming Healthbook app, to some degree, to provide fitness and health tracking information. The extent to which Healthbook will rely on the iWatch, as opposed to an integrator of many different iPhone health accessories is still unclear, however.

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