The problem it solves
Until now, setting up an Apple Watch for a child required the child to have their own iPhone, or using the existing Family Setup mode tied to a parent's iPhone. With watchOS 27, Apple further simplifies this path: according to Engadget, parents will have a new, direct way to set up an Apple Watch for kids without an iPhone, without added complexity.
Integration with the Child Account system
This fits into the broader Child Account system announced with iOS 27, which centralizes parental controls across all family devices. A watch configured for a child will operate under the same rules and restrictions defined in the child account: who can contact them, which apps they can use, and with what time limits.
Controlled independence
Practically, allowing a child to have an Apple Watch without an iPhone means offering emergency connectivity and GPS tracking without exposing the minor to the stimuli and risks of a full smartphone — a sensible compromise Apple now makes more accessible.