The augmented reality and mixed reality device market has seen renewed interest lately with major players like Apple and Meta releasing new products. Now, Google appears to be making strategic moves to re-establish itself in this competitive space after its earlier Google Glass product failed to gain widespread adoption.
Google's Strategic Acquisition
Google is reportedly in final negotiations to acquire AdHawk Microsystems, a Canadian startup specializing in advanced eye-tracking technology, for approximately USD 115 million. According to sources familiar with the matter, the deal includes a USD 15 million contingent payout based on AdHawk meeting certain performance targets. This acquisition would potentially bring AdHawk's team into Google's growing Android XR division, significantly bolstering the tech giant's capabilities in the augmented reality space.
Google's Recent XR Investments
- AdHawk Microsystems acquisition: ~USD 115 million (pending)
- HTC XR division acquisition: USD 250 million
- Android XR platform development
- Partnership with Samsung on "Project Moohan" headset
AdHawk's Technological Edge
What makes AdHawk particularly valuable is its proprietary micro-electromechanical systems eye tracker technology. Unlike traditional camera-based systems, AdHawk's solution enables higher sampling rates, reduced latency, and significantly lower power consumption - all critical factors for wearable AR devices. The company's technology can support wireless eye tracking at 250Hz and tethered tracking at an impressive 500Hz, which could give Google a considerable advantage in developing responsive, power-efficient AR experiences.
AdHawk Microsystems Technology Highlights
- Proprietary micro-electromechanical systems eye tracker
- No traditional cameras required
- Wireless tracking: 250Hz
- Tethered tracking: 500Hz
- Lower latency than competitors
- Reduced power consumption
- Previously developed "MindLink" glasses
Google's Renewed AR Ambitions
This potential acquisition follows Google's recent USD 250 million purchase of HTC's XR division, clearly indicating the company's renewed commitment to augmented and virtual reality technologies. These moves suggest Google is not merely developing the Android XR platform as software for other manufacturers but may be preparing to launch its own hardware products. The company has reportedly been testing various smart glasses prototypes internally for years, and AdHawk's low-power eye-tracking technology could be a crucial component in bringing these designs to market.
Project Astra and Future Products
Google has already offered glimpses of its AR ambitions through demonstrations like Project Astra, which featured an unreleased pair of smart glasses. With Apple's Vision Pro and Meta's Ray-Ban smart glasses generating considerable interest, Google appears determined not to be left behind in what many tech analysts consider the next major computing platform. The combination of Google's AI capabilities, the Android XR platform, and AdHawk's eye-tracking technology could potentially overcome the limitations that hindered Google Glass's adoption a decade ago.
Market Implications
If finalized, this acquisition would position Google as a serious contender in the emerging AR/XR market. The company is already collaborating with Samsung on the Project Moohan headset, which runs on Android XR. However, acquiring AdHawk suggests Google has broader ambitions beyond providing software for partners' hardware. The eye-tracking technology could be integrated into various form factors, from full-fledged AR headsets to more discreet smart glasses, allowing Google to target different segments of the market.
Timeline and Outlook
According to reports, the deal between Google and AdHawk Microsystems is expected to be finalized this week. If successful, this acquisition would represent a significant step in Google's strategy to build a comprehensive AR ecosystem encompassing both software and hardware components. For consumers, this could mean more advanced and user-friendly AR devices from Google in the near future, potentially offering compelling alternatives to current market offerings from Apple and Meta.