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Monday, January 13, 2014
Google Buys Nest For $3.2 Billion

Nest is being bought by Google for $3.2 billion, a move that could give Google a stepping stone into a new market at a time when consumer appliances and Internet services are merging.

"Google will help us fully realize 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," reads a blog post from CEO and cofounder Tony Fadell.

Fadell also said Nest will remain its own distinct unit.

Google is increasingly expanding into new markets, with efforts ranging from a high-speed Internet access business to advanced research on self-driving cars and robotics. The latest acquisition could help Google gain access to "connected homes" type systems. Obviously, what Google wants to do is be the backbone for your home, how you consume energy, how you consume content like music through your entire house.

"Nest's founders, Tony Fadell and Matt Rogers, have built a tremendous team that we are excited to welcome into the Google family," said Google CEO Larry Page in a statement. "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!"

However, commenters on Twitter expressed concerns about the privacy implications of the deal for Google, which collects scads of personal data about its users' online habits.

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