It solves nothing. I find it hilarious how fanboys keep bringing up the ipod/iphone/ipad argument WHILE IGNORING THE MOST CRUCIAL PART: How different they were, and how they solved usability issues. The ipod had a much bigger screen then other mp3 players, had the wheel, and the user interface. This solved some usability issues as the mp3 players at the time were just plain crap. The iphone was 3.5 inches versus the normal size of 1.5-2.5 inches that other phones had at the time, and was a complete multitouch screen while most other phones had physical keyboards. This solved usability issues by making it easier to type, while keeping a large screen, and made it simpler with the app system. The ipad was also completely multitouch while most tablet devices used pens, and had keyboards. This solved usability issues as multitouch is so much simpler then a pen.
These ideas made the devices a hit, as well as solved a few usability issues. The Apple Watch doesn't solve the main reason of not getting a smartwatch: The cell phone in your pocket is so much more advanced and so much more usable! The ipod, ipad, and iphone did not have this issue because they are different markets. The ipod came at a time before smartphones, and the iphone was a phone while the ipad wasn't. When they were released they were big steps above other devices, in design and usability.
And usability is one of the biggest reasons why Steve's ideas took off.