Agreed. And this is why I'm skeptical of speculation that Edition watches will be upgradable. If Apple figures out how to make the bezel smaller in a year or two, that old Edition with upgraded chip inside but with huge bezel screen isn't going to look so attractive.
Well, it is quite possible that the screen is simply a module that presses into the metal case.
The case itself being thin.
In theory (and it just a theory)

If the screen module itself, in the future, had it's active area much closer to the edge of the "push in module" then it may not matter or affect the case at all.
So In theory it's possible.
Really depends on how "Modular" the watch is in general.
Whatever happens, we can be sure Apple will improve things as models move on, and they won't make the bezel larger, it will only get less and less, which will be great as the picture/screen/graphics will get larger for everyone, without the watch having to grow in size.
You might aw well make the most of the space you have, naturally
Looking forward to the future

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Seeing it in action definitely makes it look better than static images.
I have to be honest, I think it looks worse!
It's probably down to the fact you can see all those circles chopped off as half and bits of circles.
Apple could certainly have done that better.
I could actually suggest a change right now, which might help.
Just before your circle reaches the edge of the screen/bezel join.
for a few pixels, fade the circles to black just a little, to soften the edge, so there is a gentle fade to black as the circle edge approaches the bezel, so it's not such a harsh cut off point.
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As I say, I'd not really say this looks the very best with the circle cut-off User Interface.
It's funny, I thought this the very moment I saw Apple demo this the 1st time, and still think it now.
It's just looks like this Interface was designed for a round watch, and at the very last second, when it was too late to change it, they said.... NO We are making it square!
I'm sure that's not the case, but it just clashes visually like hell to me.