Report: Google considering game machine, looking at Ouya

Android-based gaming console Ouya officially launched this week. However, it may face some serious competition in the future. According to a new report by the Wall Street Journal, Google is looking into preparing its own gaming console.

The report mentions that Google is also looking to develop a follow-up to the Nexus Q, an Android-powered media device. While the report suggests these are two separate projects, it's likely that a new TV-connected Nexus device would serve as both a media player and games console.

According to the report, "Google is hoping to combat similar devices that Apple Inc. may release in the future." Sources say that Google is concerned that games will become a larger part of the next version of Apple TV. Given Apple's newly-added support for gaming controllers, that conclusion seems like a safe bet.

The company has also been "watching" Ouya. The console sells for $99--significantly less than what the original Nexus Q launched for: $299. Apparently, the next version of the device will be "much less expensive." If Google can match Ouya's price point, offer media services in addition to games, and support the entire Google Play library, the entire Android gaming scene might look drastically different.