Google nears smartwatch launch
The Android-based device will be integrated with Google Now, the company's digital assistant, and may be just months away from production.
Google's (GOOG) smartwatch is in late-stage development and the company is in talks with Asian suppliers to begin mass production of the device, people familiar with the matter said.
The new device, which will run on Android, will be integrated with Google Now, the company's intelligent personal assistant that can answer questions, make recommendations and predict what information users need based on what they are doing, a person familiar with the situation said. Google has also been working to reduce power consumption on the smartwatch so it won't require frequent battery charges, the person said.
The smartwatch will be able to communicate with other devices such as a smartphone, and draw information such as travel schedules from a user's email through Google Now, the person said. The device could be ready for mass production within months, the person said.
However, analysts say that with the development of improved applications, wearable devices will become increasingly mainstream and a growing battleground for tech industry heavyweights like Google and Apple (AAPL). Annual sales of wearable devices are projected to reach 485 million units by 2018, according to market-research firm ABI Research.
For Google, the launch of a wristwatch would be an effort to secure a leading position in the growing wearable devices sector following its development of Google Glass. It would also be a play to keep users in its Android ecosystem and out of competing systems from Apple and Microsoft (MSFT). (Microsoft owns and publishes MSN Money.)
The Wall Street Journal first reported in June that Google was exploring a wristwatchlike device.
Interest in wearable devices has been booming as the growth outlook wanes for traditional consumer electronics categories such as PCs and high-end smartphones. Although device makers have yet to prove that they can make wearable devices profitable, most of the industry's heavyweights are exploring the prospects of this sector.
Microsoft is testing prototypes for Web-connected eyewear similar to Google Glass, according to a person familiar with the situation. Samsung beat most of its competitors to the punch in September, launching the $299 Galaxy Gear digital watch that can run apps and interact with Samsung smartphones. The company is also preparing electronic eyewear, according to patent filings with authorities in South Korea.
In Taiwan, home to the contract manufacturers that build the majority of the world's PCs and other consumer electronics, engineers say that major technology firms have been considering wearable devices for years. The contract manufacturers themselves have also long had watch prototypes that they would show to potential clients. Companies had previously dismissed the devices as not useful enough of an accessory for the relatively high cost to produce them.
It hasn't been until the past two years that wearable devices have begun to gain momentum, as industry heavyweights from Google to Apple put their bets on the new category.
Apple has also been developing its own wristwatch, according to people familiar with the matter. Chief Executive Tim Cook said in May that wearable computers will be a "key branch" in technology.
Rolfe Winkler in San Francisco contributed to this article.
More from The Wall Street Journal:
Copyright © 2014 Microsoft. All rights reserved.
Fundamental company data and historical chart data provided by Morningstar Inc. Real-time index quotes and delayed quotes supplied by Morningstar Inc. Quotes delayed by up to 15 minutes, except where indicated otherwise. Fund summary, fund performance and dividend data provided by Morningstar Inc. Analyst recommendations provided by Zacks Investment Research. StockScouter data provided by Verus Analytics. IPO data provided by Hoover's Inc. Index membership data provided by Morningstar Inc.
Start investing in technology companies with help from financial writers and experts who know the industry best. Learn what to look for in a technology company to make the right investment decisions.
With its 'Nearby Friends' feature, the social media giant enters an already crowded and somewhat contentious space occupied by the likes of Foursquare and Tinder.
VIDEO ON MSN MONEY
MUST-SEE ON MSN
- Video: Easy DIY smoked meats at home
A charcuterie master shares his process for cold-smoking meat at home.
- Jetpacks about to go mainstream
- Weird things covered by home insurance
- Bing: 70 percent of adults report 'digital eye strain'