The Nokia Android smartphone is dead - before it was even released.

Nokia's Android smartphone first appeared in a leaked press shot in September. Reports then emerged last week that Nokia was working on an Android smartphone, which many people deemed unlikely simply because Microsoft - a Windows Phone OS company - is acquiring Nokia.

It seems those people might have been right, as a new report has come to light. According to Chinese blog C Technology, Nokia has ditched all plans to make an Android device. It instead wants to explore wearables. Specifically, it will focus on emerging technologies such as flexible displays and augmented reality in order to spearhead the wearable-computing space.

READ: Is this Nokia's Android smartphone? Reportedly set for 2014 release

Going back to the shelved Nokia Android device, the Nokia CTO office, which isn't a part of the Microsoft buyout, was reportedly developing a range of budget Android prototypes. One was a Qualcomm Snapdragon 400 based 7-inch tablet. Nokia’s Peter Skillman, head of user-interface design, oversaw the device's Android customisation.

However, Nokia CTO has now abandoned the device and all other Android plans. It allegedly made the decision without Microsoft's input. Kind of. There's a clause in the Nokia-Microsoft deal that stipulates Nokia cannot sell phones for two years. This limitation is likely the reason why Nokia's focus changed so suddenly.

Although Nokia cannot work on a smartphone, its CTO office can certainly use the next couple of years to explore R&D activities such as wearables. In fact, VR headset manufacturer Vuzix recently announced the Vuzix M2000AR HMD smartglass, which was built using new Waveguide optics and Nokia’s holograph AR system.