All new things are expensive and a very few of them(< than 5%) ever get to market. Intel labs is a development organization. It is not a P&L. It is built into business model. Wearable computing has been discussed in the past by its head. I think Intel knows when to fold if the idea does not pan out.
Exactly. Like in mobile phones, for one. Intel could be dominating this market with their own branded phones. They could still compete in the low cost markets as well.