HTC is reportedly joining the smartwatch race with an image-capable, Android-powered timepiece, according to a CNET report. The report came close on the heels of recent news that Finnish company Nokia will also be manufacturing a smartwatch in a bid to one-up its competitors.

According to CNET, a "person familiar with the matter" told Bloomberg of the Taiwanesse mobile device maker's plans to release the smartwatch, which will go into production soon and will be released by the latter half 2014. Phone Arena reports that this will be around the same time Apple will launch its highly anticipated iWatch.

The HTC insider also told Bloomberg that HTC is yet to determine the cost, target market, and specs of the smartwatch. If the rumor turns out to be true, this will be HTC's first bid in the growing wearable technology market. HTC has yet to comment on the matter, according to Bloomberg.

Bloomberg said the company suffered disappointing sales during the second quarter of this year due to increased competition against Apple and Samsung, which both currently dominate the smartphone market worldwide. CNET noted that HTC once shared a big market share in the United States.

The rumors cropped up on a variety of tech sites a day after HTC CEO Peter Chou implied in a Financial Times interview that it's not far from possible for the company to join the wearable market segment, describing it as a "critical segment for us."

But Chou pointed out that "it's still too early" for the company. "It has to meet a need, otherwise if it's just a gimmick or concept, it's not for people's day-to-day lives. That is an opportunity for us," he told the Financial Times, according to a report from The Verge.

Engadget.com reports that HTC Chairwoman Cher Wang revealed that a tablet is in the works. "When the HTC tablet comes out it will be something nice and disruptive," Engadget quoted Wang based on her Financial Times interview.