Huh. Why make this wearable ? Isn't that kind of an insane design constraint? I mean, what's the battery life on something small enough to wrap around your wrist - five minutes? I mean, you go and do whatever you want. I'm just really enjoying imagining that meeting. Is this something the lead was just passionate about? Are they serious about the "friends walking around in a park who casually want aerial selfies" use…
If for no other reason than the press attention the project received. Likewise, Amazon isn't likely to actually deliver packages via drone, but it didn't stop 60 Minutes from devoting a show based on the concept. A writer coined a term "Conspicuous R&D" to describe efforts like this. Auto companies have been doing it for years in the guise of "Concept Cars." From a pure engineering perspective it's not an optimal solution, but it gained a ton more attention than if it was merely a sort of small quadcopter.
I wouldn't be surprised to see this company eventually move towards non-wearable drones, but this little R&D project doubled nicely as a marketing campaign.