The more basic CDX algorithms are probably "on the device" basic software, and the more premium will come later, and some will probably stay on the Arty cloud, talking to partner apps (blood pressure for sure as they don't want people unpacking/stealing the code when it on devices, which is not possible when on the cloud).
What we do know is:
The watch is Movoi hardware and firmware (software for the hardware), and the operating system running above the firmware is Google's Wear OS.
It also has the same "health sensor" in the flagship Pro 3. Reading prior articles on proactive investors, CDX algorithms and a PPG sensor allow "heart age, exercise capability and blood pressure can be extracted."
So - the watch can collect the PPG data. Where the data is processed, ie by which app, is what's important.
Mobvoi will have it's own app for capturing health metrics; then there's WearOS's health related apps, then Arty. They could all possible sit on the device. Each of these apps will be able to access the raw data. The algorithms in those apps then process that data.
My theory is this - CDX has allowed Mobvoi to use a number CDX health metrics calculated by CDX algorithms on the base watch itself, but blood pressure and possibly other algorithms is excluded. CDX has worked out how to read blood pressure from a PPG but it's not on the base watch software to protect IP theft (leaving it in the Arty cloud is much safer). If we go back to the announcement, the watch will also be marketed alongside [ie. with another product] called Health 360, powered by CDX. This will be a 60/40 split to CDX (if it is OEM Arty then $10/month). I am assuming Health 360 is Arty / Arty Beta. Putting the more basic of the advanced CDX metrics on the E3 watch is a good thing because it gives everyone "more", and leaves the door open for premium metrics on Health 360. If and when CDX decided to enable the blood pressure algorithm, they do it on their software and retain control of their defensible competitive advantage pertaining to blood pressure measurement (the non blood pressure related algorithms are less strategic). You never know, the launch of Health 360 might all be about blood pressure. I think we can expect a second launch soon - just don't assume blood pressure is in the more advanced set of metrics - but do assume $10 a month per person in revenue from 3 months after the launch.
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