Through the usage of bluetooth headsets, wrist watch phones are finally shrinking to a reasonable size. Well, not quite yet, but soon I am sure. These are still pretty big, but when you see the model at the end of the post, youll get a better idea about how smaller they are getting.
The Cetc operate in GSM networks, has bluetooth support, built in FM radio, MP3 and MP4 players, headset jack, microphone and speaker. When, or if, they do remove the mic/speaker it must shrink to an even more suitable size.