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Wearables fit perfectly into Google's smart strategy

Sharon Gaudin | March 21, 2014
Android Wear mobile OS to eventually work with robotics, smart cars, smart homes and search.

Those devices, which would keep track of information, such as where a user goes during the day, calendar items and driving routes, also would be collecting a lot of data.

That means Google, which sells ads based on analytics and user interests, would quickly grow its stockpile of data, helping the company bring in more ad revenue and adding more context to its knowledge base about its users.

"Wearables fit perfectly into Google's strategy," said Patrick Moorhead, an analyst with Moore Insights & Strategy. "Wearables also need to be seen as future controllers for future smart homes, robots, and an extended screen of the smartphone and tablet. And unlike a smartphone, wearables are more often on our bodies, not in our pockets, nightstand, purse or desk."

Dan Olds, an analyst with The Gabriel Consulting Group, said Google has a continuously evolving company strategy and wearable computers fit well into where the company is headed.

"I think wearables represent a new frontier for Google," he said. "It all dovetails together, with these products complementing and extending the capabilities of each other. With Android being so prevalent in the smartphone and tablet world, it's not a surprise that Google will look to leverage this asset into other complementary areas."

But the company's focus on wearables also goes back to search, Google's first and core service.

"Because wearables provide improved context, they are critical to search," Moorhead said. "The more context a search engine has, the more precise the results. It's as simple as that... Wearables in the near-future will know best what I am doing, where I am doing it, with whom I am doing it and why I am doing it. That gives the search engine the ability to discern if I'm working, shopping, exercising, driving or eating. That enables it to better do my searches."


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