From their site: The Google Gadgets API provides a way to put third-party content onto the Google homepage. The main use of the Google Gadgets API is to create gadgets (mini-applications) that users can add to their Google personalized homepages and other Google properties. For example, you could create a photo album gadget, or a gadget that displays an interactive game. The API is designed to be simple enough so that anyone can turn his or her web page or application into a gadget.
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With Google Gadgets, developers can enhance dynamic web content. The tutorial overviews Gadgets API extensions such as Calendar and G-mail which can be useful to run the gadgets in Blogger, Google Sites, and Google toolbar. Additional resources include how to create a user interface, how to work with remote content, and how to encode for internationalization.