Designers have been experimenting with innovative materials for years. Once-revolutionary synthetic fabrics such as polyester, Spandex, Gore-Tex and Ultrasuede are now used in a wide range of apparel and footwear. Recently, hip, Los Angeles-based denim designer Serfontaine Jeans started using DuPont'sLycra T400, which is made from multicomponent yarns, to create stretch jeans that don't lose their elasticity, thereby virtually eliminating the need for a belt.

According to Marshal Cohen, chief industry analyst of Port Washington, N.Y.-based NPD group, wearable technology still accounts for less than 1% of the U.S. fashion industry's retail sales. Although this sector is still in its infancy, the fashion industry as a whole is exhibiting solid growth. Last year, total U.S. apparel sales reached $181 billion, an almost 4% increase from 2004.