The CEO's job is to allocate resources to initiatives that will make the company money. NOT to fool around with worthless projects like driver less cars and glasses that are just complete waste of money and resources.
Shouldn't they be spending time and money fixing Android and the Android market place?
Either way, it's not that they are taking money and resources from Android and dedicating them to cars and augmented reality. I don't think more money and more people is what Android needs.
Maybe Google won't license it, maybe Google will give it away like they do Android. Since I don't see them manufacturing cars, those are about the only options other than canceling the effort.
Also people working on these projects are scientists at googleX they are completely different from the Android team ... Google has enough resources (people and money) to pursue these long term research project without hurting their short term business too much.
Actually that's not strictly true. The CEO's job is to satisfy the shareholders/board of directors. Normally that coincides with making the company money, but not always - the idea of a legal duty to maximise share value is a widely held myth. In the case of Google, most of the shares are still held by the founders. If they just want the company to do cool and impractical things they have the right and the capacity to make it do so.