The newest version of Google Goggles announced yesterday, 1.1, has brought with it lots of improvements, including translation for English, French, German, Italian, and Spanish. Improvements to the apps UI, improved bar code recognition, and the ability to search using images already in your Android device's gallery are also included in Version 1.1.
This update sounds like a real winner, but only if you are sporting an Android 1.6 phone or above. If you weren't sure about whether to DL this app, I think you might have think again, as this is a very welcome improvement to the Google Goggles app.
A side effect of this new ability is, as Engadget points out, is that "Android devices are getting dangerously close to letting monoglots (thanks for the great word, Google) travel safely and effectively in foreign lands."
BoyGeniusReport writes that Google plans to add support for "non-latin languages including Chinese, Hindi and Arabic."
Here is a video demonstrating the translation feature.
Images from Google Mobile Blog