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As miniaturized electronics become cheaper, more and more functionalities have been inserted into watches. Watches have been developed containing calculators, video games, digital cameras, keydrives, and cellular phones. In the early 1980s Seiko marketed a watch with a television receiver in it, although at the time television receivers were too bulky to fit in a wristwatch, and the actual receiver and its power source were in a book-sized box with a cable that ran to the wristwatch. In the early 2000s, a self-contained wristwatch television receiver came on the market, with a strong enough power source to provide one hour of viewing.

Several companies have attempted to develop a computer contained in a WristWatch (see also wearable computer). As of 2005, the only programmable computer watches to have made it to market are the Seiko Ruputer and the Fossil, Inc. WristPDA, although many digital watches come with extremely sophisticated data management software built in.

In 1990 radio controlled wristwatches or as they are sometimes called "atomic watches" reached the market. These wristwatches normally receive a radio signal from one of the national atomic clock facilities around the world, for example the National Institute of Standards and Technology located in Colorado in the United States. This radio signal tells the wristwatch exactly what time it is, in theory precise to a fraction of a nanosecond. It will also reset itself when daylight savings time changes. In recent years, mass production has meant that atomic watches have become as cheap as quartz watches, though market share still remains small as interest from big manufacturers is limited. Casio even produces watches with a GPS receiver.