Michelle Rowland has written to the privacy commissioner to examine the concerns following a surge in demand for the wearable technology.
The glasses have built-in cameras that can take pictures and videos, with a Kmart version of the product recently selling out across Australia.
Ms Rowland said the rapid take-up of the technology could infringe on privacy and needed to be examined by the Office of the Australian Information Commissioner.
"I understand that the affordability of these glasses is contributing to their growing uptake, raising community concerns about invasion of privacy and the potential for misuse," she wrote to the commissioner.
"The increasing availability of these devices could have significant implications, particularly for women and children who could be disproportionately affected by inappropriate recording, harassment, surveillance or other harmful conduct enabled by this technology."
While smart glasses have been around for several years, with versions by companies including Meta selling for several hundred dollars, the Kmart model has raised concerns about the wider spread of the technology and associated privacy issues.
A social media campaign and petition backed by advocacy group GetUp has attracted more than 22,000 signatures urging Kmart to remove the glasses from its shelves.
UK campaigner Gina Martin, who set up the petition, said there were concerns people would not know they were being recorded.
"(An) iPhone is much less covert. When you're wearing a pair of glasses, and there's an indicator light that's only so big, you don't know you're being filmed when someone is wearing a pair," she told ABC News.
"We are already seeing violations are happening. It gets that much easier when you're doing it with smart glasses."
Ms Martin said the letter from the attorney-general calling for an investigation did not go far enough.
"Time and again we see expression of concern and we do not see action," she said.
Ms Rowland flagged the federal government was working on reforms to privacy laws to address wearable technology risks.
A study of videos recorded by smart glasses found about 60 per cent uploaded to Instagram showed behaviour classified as potential harassment.
In 43 per cent of the video studies, people were exposed to derogatory comments, being identified or doxxed online.
Lead researcher at the University of Sydney Milica Stilinovic said the technology was outgrowing safeguards.
"Tech is running at breakneck speed and regulators, a pace behind, cannot regulate harms once they've already manifested in the wild," Dr Stilinovic said.
"It's time for big tech to come to the table and slow down the release of more smart glasses so that regulation gets a better scope of what they're dealing with."
Fareed Kaviani, from Monash University's faculty of information technology, said there was a deep divide between people who used smart glasses and those who didn't.
"Owners tended to regard smart glasses as useful, fashionable and consistent with their identity. Non-owners were significantly more concerned about privacy, rudeness, inappropriate use and wearers taking advantage of others," he said.
"A central issue is consent,
as smart glasses make recording faster, more continuous and less visible, meaning existing social conventions around asking permission to photograph or record someone will be much harder to maintain."
Dr Kaviani said clear regulations were needed on the use of smart glasses before the technology became more embedded in daily life.
Ms Rowland said there was significant privacy concern for women and children.
"Privacy is an essential part of all our lives; it allows us to be who we are with dignity and without fear," she said.