I don't think it's a "rumor" about Apple "looking into" LTE on the AW. They were probably "looking into" adding it to iPods, too.
So anyway, let's go to iFixit's iPhone 6S teardown, since it should have the most recent, and hopefully the smallest, Qualcomm LTE chip:
https://www.ifixit.com/Teardown/iPhone+6s+Teardown/48170#s107880
Hmm. I'd bet it's about the size of my pinky fingernail. It has to connect to a board, of course, which adds more thickness to the installation.
Add an antenna or two and a fatter battery, and you're going to run out of space pretty quickly.
For reference, iFixit's AW teardown:
https://www.ifixit.com/Teardown/Apple+Watch+Teardown/40655