[LOS ANGELES] Alphabet’s Google is in final talks to acquire AdHawk Microsystems, a maker of eye-tracking technology, part of a renewed push into headsets and smart glasses.
The technology giant intends to buy the Canadian startup for US$115 million, according to sources with knowledge of the matter. That includes US$15 million in future payments that will hinge on AdHawk reaching performance targets, said the sources, who asked not to be identified because the deal has not been announced.
The agreement is on track to be completed this week, but it’s still possible that the talks could fall apart at this late stage because the deal has not been signed. A Google spokesperson declined to comment, while AdHawk did not respond to a request for comment.
Founded in 2017, AdHawk has created chips, hardware and software to enable advanced eye tracking. The Waterloo, Ontario-based company has developed glasses called MindLink and offers the technology to manufacturers, allowing devices to determine where a user is looking. AdHawk’s main selling point is its low-power components, which can analyse a user’s corneas and pupils quicker than rival sensors.
AdHawk has been on the market for a number of years. In 2022, Meta considered buying it, Bloomberg News reported at the time. The startup is backed by the venture arms of Samsung Electronics, Intel, HP and Sony Group. Ray-Ban owner EssilorLuxottica, Meta’s partner in smart glasses, is another investor.
Eye-tracking technology has become a vital piece of augmented and virtual reality headsets. The feature is central to Apple’s Vision Pro interface, and it will be a prominent part of Samsung’s upcoming Moohan headset – a device developed with Google. Meta Platforms’s discontinued Meta Quest Pro also relied on it.
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Google was a pioneer of smart glasses technology, releasing a device called Glass more than a decade ago. But the product was not never a big seller and was discontinued two years ago.
Since then, the company has discussed a return to the smart glasses market, citing the promise of artificial intelligence. In addition to its work with Samsung, Google has spent years testing new glasses prototypes. Eye tracking, especially with lower-power components, could help bring those designs to market.
In December, Google introduced an operating system called Android XR that will work on the Samsung headset and other potential devices. The software includes frameworks for developers to use to embed eye-tracking support in their applications.
AdHawk’s staff is poised to join the Android XR team within Google’s Platforms organisation after the deal closes, the sources said. Earlier this year, Google bought a portion of HTC’s XR division for US$250 million, giving the company more engineers and intellectual property related to headsets and glasses. BLOOMBERG
