According to the Wall Street Journal, Intel Corp.’s (INTC) chips will replace the ones from Texas Instruments (TXN) in the new version of Google (GOOGL) Glass to launch in 2015.
Google Glass has seen small upgrades frequently but the relatively short battery life and four-figure price tag have limited its broad adoption. The decision to go for a new processor could signal new opportunities.
Intel will sell the device to hospitals and other workplaces according to the WSJ, where the higher price tag could be justified by the resultant increase in efficiency/accuracy. It will also probably look for new areas of application. With its chips driving the devices, the company will be motivated to sink some cash in its success, which is good news for Glass.
In spite of the emergence of programs like Glass for Work, the Wall Street Journal reports that Google still considers it to be a consumer product. It’s hard to tell where the consumer version is headed, but recent Reuters reports would indicate not far unless the company can come up with something radically different and that may not happen soon.
It's not yet known which Intel chip will be used to power the new Google Glass or if there will be customized product for the device. But Intel is very serious about its wearables business as evident from the recently-launched MICA bracelet. The relationship with Google could have longer-term implications, since Google has also been building its design expertise through acquisitions.
Neither Intel nor Google have responded to the report.
Intel shares currently have a Zacks Rank #2 (Buy).
Investors can also consider Stamps.com Inc (STMP) as it sports a Zacks Rank #1 (Strong Buy).
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