Google is holding a contest to see what kind of gadgets the development community can produce for Google Desktop. With $8000 in prizes up for grabs, I'm sure there will be a few interesting gadgets populating the directory come August. The contest ends on July 31st -- winners will be determined based on popularity, visual appeal, creativity and the use of new features.
For any of you looking to get into gadget development, Google released their Desktop Gadget Designer today as well. My first impression of this application isn't a particularily good one -- but it will at least get you started. The interface is not well designed -- context menus would have made it more tolerable. If you are looking for help, don't bother trying the "User Guide" menu item either -- it doesn't do anything.