Google Launching Android for Wearables - Analyst Blog

After the success its Android operating system (OS) saw in smartphones and tablets, Google Inc. GOOG announced that it will soon launch an Android Software Development Kit SDK for wearables.

The SDK will help software developers to easily create applications for wearable devices like smartwatches, glasses, headbands and neckties on the Android platform.

The Android ecosystem is huge and continues to grow rapidly. The release of the SDK for wearables before the launch of the devices will ensure sufficient apps optimized for the devices as soon as they come to market. This will make the devices more attractive, which should boost their sales.

Rumor has it that Google will also release a smartwatch, which will be built by LG Electronics to compete against the likes of Apple Inc. AAPL and Intel Corp. INTC.

Google recently launched the Google Cast SDK for its Chromecast streaming dongle, which will allow developers to make apps for Chromecast and also enable integration of their existing apps with Chromecast. Google uses a form of OS for its Google glass as well. Also, Google's Android OS is available to developers of mobile devices and tablets for free.

Google is easily the leader in search, with Yahoo! Inc. YHOO and Microsoft MSFT being very small competitors. But Google is aggressively exploring new markets to diversify its revenue.

Recently, Google Capital bought a stake in online real estate website Auction.com for $50.0 million to build its position in the real estate vertical.

Google currently holds a Zacks Rank #3 (Hold).