Phwoar...Google Just Bought Nest For $3.2 Billion

Meet Nest's Protect, a Smart Smoke Detector That's Actually Exciting

Hold onto your smart home, folks: Google just bought smart home gadget maker Nest for $US3.2 billion. In cash.

Google announced on its investor page this morning that the acquisition was going ahead:

Google announced today that it has entered into an agreement to buy Nest Labs, Inc. for $3.2 billion in cash.
Nest’s mission is to reinvent unloved but important devices in the home such as thermostats and smoke alarms. Since its launch in 2011, the Nest Learning Thermostat has been a consistent best seller—and the recently launched Protect (Smoke + CO Alarm) has had rave reviews.
Larry Page, CEO of Google, said: “Nest’s founders, Tony Fadell and Matt Rogers, have built a tremendous team that we are excited to welcome into the Google family. They’re already delivering amazing products you can buy right now—thermostats that save energy and smoke/CO alarms that can help keep your family safe. We are excited to bring great experiences to more homes in more countries and fulfill their dreams!”
Tony Fadell, CEO of Nest, said: “We’re thrilled to join Google. With their support, Nest will be even better placed to build simple, thoughtful devices that make life easier at home, and that have a positive impact on the world.”

For those playing at home, Tony Fadell is the guy who was instrumental in the invention of the iPod, and went on to start Nest after his time at Apple.

Nest makes the smart thermostat which few Australians would need, and more recently, the smart fire alarm which everyone could benefit from.

$US3.2 billion in cash? That's a lot of smoke alarms.

Nest founder Tony Fadell explained the decision in a blog post about why he sold to Google:

So if things are going so well, why did we decide to partner with Google?

Google will help us fully realise our vision of the conscious home and allow us to change the world faster than we ever could if we continued to go it alone. We've had great momentum, but this is a rocket ship.

Google has the business resources, global scale and platform reach to accelerate Nest growth across hardware, software and services for the home globally. And our company visions are well aligned — we both believe in letting technology do the hard work behind the scenes so people can get on with the things that matter in life. Google is committed to helping Nest make a difference and together, we can help save more energy and keep people safe in their homes.

Nest has also issued a Q&A about what happens to your privacy and your data if you're an existing customer. You can find that on TechCrunch.

Kelsey Campbell-Dollaghan contributed to this report

[Google]


Comments

    Wow! This really should be big for Home Automation. As long as there is interoperability this should be a great thing. Nest has made some great products and if they continue to expand the range and release API's this should lead to quicker adoption and more competition.

    "smart thermostat which few Australians would need"

    Why would only "few Australians" need a thermostat which looks nice and can be controlled over wifi, but everyone could benefit from a $150 smoke alarm which you only "use" if there is a fire in your house?

      How many home have ducted heating/cooling compared to the US where it gets much cooler

        Ding-Ding! Give @ricadam a point.

        Australian homes are about 15% ducted, if that. US homes, it's about 75%. It's basically standard over there. It's quite unusual here. Though I don't know why. Alot more energy efficient for a bloody hot country that we are.

          Really? I would never have known. I just assumed most houses would have ducted heating/cooling.

          I'm pretty sure most houses I have been to (friends, etc.) have had it.

          Well that is very weird.

          What do most people do? Buy those heater or A/C things that are on wheels?

          Surely all new houses would just get ducted heating/cooling these days.

            No, most people have on the wall aircon. Cheaper to install.

            I have a portable aircon (one on wheels) cause I rent & can take it with me. They're more popular now too.

            Australians are very backwards compared with the rest of the world when it comes to efficient ways to heat/cool their houses.

    Sounds like a bargain price for a thermostat and a smoke alarm.

    Hopefully this mean we can get the smoke alarms here in Australia soon.

    Home automation is just a crazy dream that will never work in real life. Its not needed and will never be needed.

      Except that homes are already filled with automation to make our lives easier and have been for a long time.

      My oven automatically turns itself off, my outside lights automatically turn themselves on when I walk by, my screen door automatically closes itself, my fridge automatically maintains a constant temperature, my hot water tank automatically heats my water - hell, my toilet automatically fills itself back up!

      Home automation is not a crazy dream. Its a way to make life easier by automatically controlling otherwise tedious aspects of life. If I removed the automation you have in your home I don't think you would be saying it's not needed. Manually filling up your toilet is only fun for the first dozen or so times.

      Home automation has been around a long long time. The exciting thing is that thanks to new technology, there is a whole lot of new tech focused home automation available, as well as the ability to make existing home automation smarter and more controllable.

        I hear your point but they are not really the automation that I'm talking about. I'm meaning more about controlling your stove or washing machine with your phone. I think those things are pointless. Having machines knowing what to do is good though. No qualms there.

      Just like computers, mobile phones, aeroplanes, internet, wifi, tv, radio, cars, etc.

        @pepee63
        Do you think that home automation just means exactly what we have now (technology wise) but for more products in 30 years time?

        Computers were the size of rooms and were slower than our flat screen TVs we have now.

        Technology advances, things change, people adapt to new tech and become reliant on it. I'm sure everyone said cars would never take off because they are too dangerous. Didn't you know that fuel explodes?! How unsafe!

        Let the technology advance and mature, and eventually it will turn nice and people will like it.

    what a waste of time and money. My free smoke alarm works fine thanks.

      Yeah, but if you are not home will it have the ability to alert emergency service (or anyone else), before a neighbor sees the flames and calls 000? If you are at home and asleep, does it have the ability to turn on all the lights inside and outside the house, unlock the door, and play a warning alarm or message loud enough to alert all those inside the house as well as those neighboring it? Home automation can make all of this possible, and in the case of an emergency like this every second can make a difference.

    I would have expected Apple to buy them?
    And for that price, Nest must have something in the pipeline other than Thermostats and Smoke detectors?

      While I am sure Google are interested in their existing product lines they also probably bought for their patents and wireless integrating technologies and infrastructure.

      Maybe Google is buying into the idea of a smart home more than simply buying the company.
      They probably think Nest has a good thing going and deserves that amount of money.

    Meh Google don't need to know when my lights are on and off.

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