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Older Apple Watches have a port that is hidden. Not the Apple Watch Series 7. If you open it, it has a door. That door is basically of no use to us, the users; Apple, however, could use it to diagnose the watch, if necessary.
Since then, the MacRumors confirmed with Dieter Bohn from The Verge and others that Apple Watch Series 7 does not have a diagnostic port hidden feature located in the bottom band slot on all previous Apple Watch models. Apple has used the port for diagnostic purposes when servicing an Apple Watch, such as to restore watchOS via a wired connection with a special tool.
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The lack of a diagnostic port on Apple Watch Series 7 models likely explains the addition of the 60.5 GHz wireless data transfer module. FCC filings have indicated that the module only activates when the Apple Watch is placed in a proprietary magnetic dock with a matching 60.5GHz module, so it looks like Apple could use this dock to perform diagnostics or restore watchOS wirelessly on Series 7 models.
It's also worth noting that the Series 7 models feature IP6X-rated dust resistance, so perhaps removing the diagnostic port helped to some degree.
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Apple Watch Series 7 models will begin reaching customers and will be released in stores this Friday, October 15th. Key features include larger displays with 41mm and 45mm case sizes, improved durability with IP6X rated dust resistance, up to 33% faster charging with an included USB-C fast charging cable, and new aluminum colors.
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