When the Nearby API started rolling out to Google Play Services in July of last year, it had a lot of potential and promise. It made it so devices could talk to each other based only on their proximity and regardless of whether or not they were on the same WiFi network (in certain applications) or paired via Bluetooth. That's why we've often said it's the genius feature no one is using.
But Nearby in its original form required a lot of involvement from the user. The few apps that implemented the API only used it in specific screens, had to ask for a permission to activate it, and had to show a notification whenever Nearby was on and looking for other devices.
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