“In a deal surprising only for its enormous purchase price, Google has announced that it’s buying Nest Labs, the hot maker of tech-infused household devices such as thermostats and smoke alarms, for $3.2 billion in cash,” Robert Hof writes for Forbes. “Nest, which had financial backing from Google’s venture arm, has been lauded for its elegant takes on common household products, and it seems clear that it has no intention of stopping at thermostats and smoke alarms.”
“Internet-connected smart devices continue to proliferate in the home and beyond, it’s likely that they will create, or disrupt, multibillion-dollar markets in much the same way Apple did for smartphones and tablets,” Hof writes. “That’s why a Nest backed by Google, now the second big pillar in mobile devices with its Android software and hardware, could blunt apparent intentions by Apple to move beyond computing and communications devices. While Apple has not announced plans for other devices, it’s said to be working on a smart watch and a television, and many observers believe it’s likely Apple would be interested in offering new takes on other home and consumer devices.”
“While the price seems dear for a company with only two products, those products clearly impressed Brin and Page with their potential. (Page, who took over as CEO with a mission for Google to create more beautiful products, no doubt was also impressed with the design of the Nest devices,)” Hof writes. “But in any case, that goal would seem to present a challenge to Apple, known more than anything else for producing elegant products that people can’t live without. Buying Nest gives Google a way to do the same well beyond the sphere of computing – and do it right away.”
Read more in the full article here.
MacDailyNews Take: Tim Cook: Asleep at the switch, in total command, or somewhere in-between?
While you ponder that, we’re off to peruse the complete line of Honeywell Programmable Thermostats…
Google to buy Nest Labs for $3.2 Billion – January 13, 2014
Tony Fadell introduces Nest Protect smoke and carbon monoxide detector – October 8, 2013
Tony Fadell, Father of the iPod: From Apple to Nest Labs, always a designer – July 24, 2013
Apple Store to sell Tony Fadell’s Nest Learning Thermostat, report claims – May 25, 2012
‘Father of the iPod’ Tony Fadell shows off his new project: Thermostats – October 25, 2011