This definitely smells like a product Jobs would have killed / tabled had he been running Apple.
The device is a solution looking for a problem to solve, and the tech simply isn't ripe enough if the battery can't make it a full day without needing a recharge.
Tim Cook & co must know what's riding on the Watch. They've openly said "This project started after Steve's death".
This is their chance to prove they can redefine a category and launch a game-changing new product. I am sure they would not have launched something they had doubts with.
If they were under pressure to release a new category, but did not have the ability to conceive a new idea, I'm sure the Apple TV would have been released. If Steve was the only ideas man, that's all they have left.
It would have been easy for Apple to shrug off the smart watch category, in the same way most customers have.