Wall Street Journal suggests firm is developing the device to go head-to-head with Apple TV
According to the Wall Street Journal, the company is investigating a number of new market, including a wearable wrist device and a second generation Nexus Q.
The report suggests that many of the products in development are intended to go head to head with similar devices rumoured to be in development at Apple.
The company is also reportedly looking at developing a new generation of the Android OS designed to power low-cost devices.
This would be targeted at emerging markets and would be designed for notebooks and home appliances, like fridges.