Google Now is introduced last summer at the Nexus 7 event. It is a highly helpful and innovative way to be more informed with some minimal data. Basically it understands what you would like to be informed about, understands where you work and where you live, gives you the traffic info before leaving for home or work. Shows public transport points and timetables, it analyses your e-ticket that is in your inbox and gives you flight info including delays and boarding times. Gives you a translation card if you are abroad and many more things.
The great thing about it is that you only get what is relevant to you in a very convenient way, it is just cards of info that is just useful and helpful. The interesting thing about Google Now is that it can actually do much more stuff.
What you search on Google everyday is raw data. It is just words, words and words. But Google Now is designed to analyze this raw data to understand you better and know you better. It is designed to make you more efficient and aware, it almost fits the quote from Steve Jobs when he said “It is bicycle for the mind” about his first Apple computer.
So what else theoratically Google Now can do? Right now it does not analyze your artistic interests. In desktop if i search “Vampire Weekend tour” it gives me a card on the right side, a bit like Google Now. Giving me a short bio, songs, member, tour dates. This can be directly implemented in to Google Now, it can understand you that you like Vampire Weekend and it already knows where you live so it can give give a notification when the band is playing in your city. Or you can adjust how much care about the band, it can update you when the band release a new album.
Not only users but also for advertises this is a huge deal. If Google decides to somehow include ads in Google Now they are aware that it can dissolve the beaty of the Google Now as it would have a risk of giving unwanted data to users. But it can also be helpful for users if done right, say you are using Google Wallet for you transactions it can understand you like to shop in for example in “GAP”, it can give you a notification about when you are nearby a GAP store.
By using searches, location, transaction and interest data at the same time Google Now is in a very good position to get better and most probably it will.