Directly from the source below...

http://www.24hourfitness.com/training/bodybugg/

"The bodybugg system uses a patented process to measure calorie burn.
The process is based on:

Motion: The armband contains an accelerometer that measures motion from multiple perspectives.
Steps: The accelerometer counts steps by measuring the distinct patterns created by running or walking.
Galvanic skin response: When you sweat, your skin becomes more electrically conductive. This measurement helps the device understand how active you are.
Skin temperature: There’s an electronic thermometer inside your armband that monitors how hot you are.
Heat flux: When you move, your muscles produce heat. Your armband measures the heat that’s flowing from your body into the environment."

Hope this helps!
Source(s):
http://www.24hourfitness.com/training/bodybugg/


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