Tightwind.net has it right:
Google makes relatively little from Android while one company—Samsung—makes more operating income from Android than Google as a whole. Think about that! Google is doing the hard work of developing the operating system and applications, but Samsung is capturing all of the revenue and income. Google’s Android strategy failed.The only problem with the notion that Google’s exit from the trap is selling devices (Glass, Chromebooks, Motorola-made Google-branded phones) is that we have very little evidence that Google will be any good at it. Google TV, anyone?
This strategy requires Google to attack directly into the arena dominated by Samsung and Apple. I think I’ve seen that before.