It's not ridiculous. with most Apple products, they release new versions of the hardware annually. They don't simply rebadge the previous year's generation, but add/improve hardware. And with the improved hardware comes improved software.This is ridiculous. Whether they decide to wait a few years or only one year to release a new product has no affect on the one you purchased. And just because a product is updated every year, it doesn't mean that Apple expects everyone to buy one each year. Macs, iPhones, and iPads are updated every year, but most people only buy phones every two years, computers 4 or 5 years. Why should it be different for the watch? Not everyone will be on the same upgrade cycle, so offering frequent upgrades is better for everyone. The people who want to upgrade every year will be able to; Apple's not going to make it harder for people to throw money at them. Other people can decide to skip every year or two, which will be more typical.
We've seen with iPads and iPhones that Apple pushes people to upgrade their hardware to the latest software. Each update causes the device to perform less optimally than it did with the previous software.
Whether or not Apple will continue that behavior with the aWatch is yet to be seen, but given Apple's track-record it isn't ridiculous for people to be concerned.