Sony is reportedly planning to develop a smartwatch which will feature its patented electronic paper technology.

The technology will turn the entire surface of the smartwatch into a single display, changing its appearance Bloomberg reported.

A Sony spokesman in Tokyo was cited by PCWorld as saying, "We can confirm that a project team named Fashion Entertainments located in the New Business Creation Department of Sony Corporation is working on prototypes that use electronic paper including a wristwatch."

"We decline to comment on specifics such as the possible commercialization of this project, or any targeted product launch date."

In April this year, Sony created its New Business Creation Department to develop new products which will be innovative and deviate from its traditional products.

The Japanese electronics major is already in the smartwatch race, with the launch of its SmartWatch in 2012 and Android Wear.