Will the i-Watch be next year's must-have gadget?

The i-Pad mini was the must-have Christmas gadget in 2012 but next year Santa may be delivering the i-Watch.

Rumors of the space-age device, began picking up speed when Apple announced the square 2010 iPod nano and Steve Jobs quipped that board members wanted to wear them as watches.

There was immediate speculation that a new, light, wearable device would soon follow.

Now, reports from China, where Apple manufactures most of its products, suggest the iWatch could go on sale next summer.

The i-Watch will reportedly allow users to send and receive email, texts and Facebook alerts, and communicate with other devices wirelessly via Bluetooth.