Google Inc, the search engine giant, has still not relaxed yet. It may have slowed down considerably in terms of acquiring and investing but it plans to keep it going in the near future. Google believes that lucrative investments with potential star growth should not be let to waste.
News popped up about another purchase of stake in a Taiwanese company which is a chipmaker. Google purchased around a 6.3% stake in Himax Display Inc. This division is responsible for making small displays. This helped give a surge to the shares to $6.86 on Nasdaq.
Google has the option to invest around 14.8% in Himax in the coming year. The financial details were not fully disclosed. Google confirmed this small investment in the company claiming that it is planning for the future of its Google Glass Displays. Himax believes that this investment would help fund its production facilities if liquid crystal on silicon (LCoS) chips and modules. It has been a partner with Google for quite some time providing equipment to the search engine giant. Apparently this move will help it prioritize Google Glass now.
Glass is one of its kind
Rivals have taken matters into hand and the competition has moved to newer arenas which include wearable technology from smartphones and tablets. Google has been also focusing on a watch technology but has for now announced to the world Google Glass technology. This technology has taken the market by storm and competitors such as Apple and Microsoft have been left to bite the dust.
Google Glass has a mounted display that projects onto the wearers glasses and combines everything mobile onto it. This introduction of technology has taken a leap into the future. Google packs a small camera which records as well as shoot pictures. It also helps in navigating and checking email as well. The applications being rolled out by Google are currently limited. However it is focusing on pushing more and more apps which meet the stringent security conditions that it requires for Glass. Third party app development has also commenced however in limited phases. Google claims that it will not let apps that do not meet a certain criterion pass through to glass.
Google Glass is currently available to select developers and people Google has provided access to. It plans to unveil to the wider public by the end of the year if it is able to iron out all the kinks. It also plans to enforce certain strict measures in terms of security and privacy before it can release Glass to the general public.
The extent of the Investment
This investment in Himax indicates that Google now believes in the capabilities of Himax’s LCoS displays and confirms it as its key supplier now. The investment is rumored to be in the range of $20 million to $40 million. Google will now become a stake owner along with Intel Capital Corp, Khosla Ventures I LP and KPCB Holdings as a shareholder in Himax’s HDI unit. The transaction will be finalized during this quarter.