diff --git a/src/lib/core/observe-content/observe-content.spec.ts b/src/lib/core/observe-content/observe-content.spec.ts
index 888a37391a0e..f33246370bfb 100644
--- a/src/lib/core/observe-content/observe-content.spec.ts
+++ b/src/lib/core/observe-content/observe-content.spec.ts
@@ -1,6 +1,6 @@
 import {Component} from '@angular/core';
-import {async, TestBed} from '@angular/core/testing';
-import {ObserveContentModule} from './observe-content';
+import {async, TestBed, ComponentFixture, fakeAsync, tick} from '@angular/core/testing';
+import {ObserveContentModule, MutationObserverFactory} from './observe-content';
 
 /**
  * TODO(elad): `ProxyZone` doesn't seem to capture the events raised by
@@ -8,17 +8,17 @@ import {ObserveContentModule} from './observe-content';
  */
 
 describe('Observe content', () => {
-  beforeEach(async(() => {
-    TestBed.configureTestingModule({
-      imports: [ObserveContentModule],
-      declarations: [ComponentWithTextContent, ComponentWithChildTextContent],
-    });
+  describe('basic usage', () => {
+    beforeEach(async(() => {
+      TestBed.configureTestingModule({
+        imports: [ObserveContentModule],
+        declarations: [ComponentWithTextContent, ComponentWithChildTextContent]
+      });
 
-    TestBed.compileComponents();
-  }));
+      TestBed.compileComponents();
+    }));
 
-  describe('text content change', () => {
-    it('should call the registered for changes function', done => {
+    it('should trigger the callback when the content of the element changes', done => {
       let fixture = TestBed.createComponent(ComponentWithTextContent);
       fixture.detectChanges();
 
@@ -33,10 +33,8 @@ describe('Observe content', () => {
       fixture.componentInstance.text = 'text';
       fixture.detectChanges();
     });
-  });
 
-  describe('child text content change', () => {
-    it('should call the registered for changes function', done => {
+    it('should trigger the callback when the content of the children changes', done => {
       let fixture = TestBed.createComponent(ComponentWithChildTextContent);
       fixture.detectChanges();
 
@@ -52,6 +50,62 @@ describe('Observe content', () => {
       fixture.detectChanges();
     });
   });
+
+  describe('debounced', () => {
+    let fixture: ComponentFixture<ComponentWithDebouncedListener>;
+    let instance: ComponentWithDebouncedListener;
+    let callbacks: Function[];
+    let fakeMutationObserver: {
+      create(callback: MutationCallback): any;
+      invokeCallbacks: (args: any[]) => void;
+    };
+
+    beforeEach(async(() => {
+      callbacks = [];
+
+      fakeMutationObserver = {
+        invokeCallbacks: (args?: any[]) => callbacks.forEach(callback => callback(args)),
+        create: (callback: MutationCallback) => {
+          callbacks.push(callback);
+
+          return {
+            observe: () => {},
+            disconnect: () => {}
+          };
+        }
+      };
+
+      TestBed.configureTestingModule({
+        imports: [ObserveContentModule],
+        declarations: [ComponentWithDebouncedListener],
+        providers: [{ provide: MutationObserverFactory, useValue: fakeMutationObserver }]
+      });
+
+      TestBed.compileComponents();
+
+      fixture = TestBed.createComponent(ComponentWithDebouncedListener);
+      instance = fixture.componentInstance;
+      fixture.detectChanges();
+    }));
+
+    it('should debounce the content changes', fakeAsync(() => {
+      fakeMutationObserver.invokeCallbacks([1]);
+      fakeMutationObserver.invokeCallbacks([2]);
+      fakeMutationObserver.invokeCallbacks([3]);
+
+      tick(500);
+      expect(instance.spy).toHaveBeenCalledTimes(1);
+    }));
+
+    it('should should keep track of all of the mutation records', fakeAsync(() => {
+      fakeMutationObserver.invokeCallbacks([1]);
+      fakeMutationObserver.invokeCallbacks([2]);
+      fakeMutationObserver.invokeCallbacks([3]);
+
+      tick(500);
+      expect(instance.spy).toHaveBeenCalledWith([1, 2, 3]);
+    }));
+  });
 });
 
 
@@ -66,3 +120,11 @@ class ComponentWithChildTextContent {
   text = '';
   doSomething() {}
 }
+
+@Component({
+  template: `<div (cdkObserveContent)="spy($event)" [debounce]="debounce">{{text}}</div>`
+})
+class ComponentWithDebouncedListener {
+  debounce = 500;
+  spy = jasmine.createSpy('MutationObserver callback');
+}
diff --git a/src/lib/core/observe-content/observe-content.ts b/src/lib/core/observe-content/observe-content.ts
index ac0cba5e695f..12070af7d096 100644
--- a/src/lib/core/observe-content/observe-content.ts
+++ b/src/lib/core/observe-content/observe-content.ts
@@ -7,11 +7,22 @@ import {
   Input,
   EventEmitter,
   OnDestroy,
-  AfterContentInit
+  AfterContentInit,
 } from '@angular/core';
 
 import {debounce} from '../util/debounce';
 
+/**
+ * Factory class to create MutationObserver instances. Useful for being able to
+ * stub out the MutationObserver for unit tests.
+ * @docs-private
+ */
+export class MutationObserverFactory {
+  create(callback: MutationCallback): MutationObserver {
+    return new MutationObserver(callback);
+  }
+}
+
 /**
  * Directive that triggers a callback whenever the content of
  * its associated element has changed.
@@ -31,7 +42,9 @@ export class ObserveContent implements AfterContentInit, OnDestroy {
   /** Debounce interval for emitting the changes. */
   @Input() debounce: number;
 
-  constructor(private _elementRef: ElementRef) {}
+  constructor(
+    private _elementRef: ElementRef,
+    private _observerFactory: MutationObserverFactory) { }
 
   ngAfterContentInit() {
     let callback: MutationCallback;
@@ -51,7 +64,7 @@ export class ObserveContent implements AfterContentInit, OnDestroy {
       callback = (mutations: MutationRecord[]) => this.event.emit(mutations);
     }
 
-    this._observer = new MutationObserver(callback);
+    this._observer = this._observerFactory.create(callback);
 
     this._observer.observe(this._elementRef.nativeElement, {
       characterData: true,
@@ -70,7 +83,8 @@ export class ObserveContent implements AfterContentInit, OnDestroy {
 
 @NgModule({
   exports: [ObserveContent],
-  declarations: [ObserveContent]
+  declarations: [ObserveContent],
+  providers: [MutationObserverFactory]
 })
 export class ObserveContentModule {
   static forRoot(): ModuleWithProviders {