One way to look at wearable tech is as an extension of the surface of your smartphone. If you can interact with your phone throughout your clothing, there could be a lot of room for (warning, buzzword!) innovation there.
I agree in part, just think that the jacket needs to be paired with a HUD or maybe have control/button labels that can shine through the fabric in order to open up that innovation.
This would be huge for things like heart monitors and emergency phone calls. A lot of room for "cool social apps for teens", and almost definitely for gaming/VR.
Wasn't there mention of light and haptic feedback?