Google employee Dori Storbeck, Community Manager for Hangouts and Chat, confirmed on her Google+ page that the new Google Hangouts application will soon support SMS messages, as well as IM.
In addition to text messages, Google Hangouts will also eventually be able to make outbound calls. Storbeck didn’t provide a timeframe on when these features might become available, other than to say “soon.”
Google Hangouts replaces Google Talk for most Android users and can be used for IM, voice, and video chats.