According to reports Google is working on a pair of augmented reality glasses with a forward-facing camera and flash. Corroborating to earlier report about the Google [x] Glasses project:
"They are in late prototype stages of wearable glasses that look similar to thick-rimmed glasses that "normal people" wear. However, these provide a display with a heads up computer interface. There are a few buttons on the arms of the glasses, but otherwise, they could be mistaken for normal glasses.
The technology used is not known at the moment, but it's likely a transparent LCD or AMOLED display. In addition, the device isn't an "Android peripheral" as the NYT stated.
According to sources, it "communicates directly with the Cloud over IP." Although, the "Google Goggles" could use a phone's Internet connection, through Wi-Fi or a low power Bluetooth 4.0.
The use-case is augmented reality that would tie into Google's location services. A user can walk around with information popping up and into display -Terminator-style- based on preferences, location and Google's information. Therefore, these things likely connect to the Internet and have GPS."
Now, according to a tipster who has seen a prototype,
"it looks something like Oakley Thumps glasses (see pic below). It has a front-facing camera used to gather information and could aid in augmented reality apps. It will also take pictures. The spied prototype has a flash --perhaps for help at night, or maybe it is just a way to take better photos. The camera is extremely small and likely only a few megapixels.
The heads up display (HUD) is only for one eye and on the side. It's not transparent nor does it have dual 3D configurations, as previously speculated.
The navigation system currently used is a head tilting-to scroll and click. And, that it's very quick to learn and once the user is adept at navigation, it becomes second nature and almost indistinguishable to outside users," revealed.
Here is Google's Marisa Mayer talked to Jason Kincaid about serendipity and location back in May 2011: