Google buys smart thermostat maker Nest for $3.2 billion

Google stands to gain a massive stream of new data about people's daily habits

Google has acquired Nest, a company that makes a home thermostat that can be programmed from people's mobile phones, for US$3.2 billion in cash, Google said on Monday.

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

The transaction, Google said, is expected to close in the next few months.

Nest confirmed the deal with a Twitter message, adding that "Nest will stay Nest." Nest launched in 2011, and will continue under the leadership of Fadell, Google said in its announcement.

Nest's products include a home thermostat and a smoke and carbon monoxide alarm, which are designed to "learn" from users' habits. "Most people leave the house at one temperature and forget to change it," Nest says on the website of its thermostat. "The Nest Learning Thermostat learns your schedule, programs itself and can be controlled from your phone."

Nest's data could give Google a massive stream of interesting data about what people do in their homes. It could also advance the company's aims to become a stronger fixture in people's homes, which it is already trying to do through hardware like its Chromecast media streaming device and Chromebook laptops.

Zach Miners covers social networking, search and general technology news for IDG News Service. Follow Zach on Twitter at @zachminers. Zach's e-mail address is zach_miners@idg.com

Join the newsletter!

Error: Please check your email address.
Show Comments

Blog Posts

How to leverage the Internet of Things to understand consumer intent

'Intent' is the single largest performance marketing variable. It shapes our search queries, dictates our purchase paths and mediates meaningful interactions with brands regardless of channel, media or content type.

Oliver Smith

Business development, Performics Australia

3 ways customer data can increase online sales conversion

Data has been an increasingly critical factor in improving the efficiency and effectiveness of marketing and business operations.

James Bennett

Chief experience officer, Kalido

Our sharing future is both terrifying and exciting

Discussing the future in a realistic fashion is often a disappointing prospect. For all the talk of hoverboards, jetpacks and lightsabers changing the way we do things, the reality tends to end up being something as mundane as a slightly cheaper way to get around the city.

Jason Dooris

CEO and founder, Atomic 212

Hi James, shouldn't marketers also be focusing on collecting and utilizing up to date first-party profiling data on customers so that mes...

Tom

3 ways customer data can increase online sales conversion

Read more

Wouldn't reconnecting with younger consumers be in direct contravention of the code on alcohol advertising?

Tim Palmer

Vodka Cruiser reconnects with younger consumers via category-first Facebook Live campaign

Read more

Thanks for the article Jennifer, you raise some interesting points. The supermarket and shopping centre examples particularly struck a c...

Jill Brennan

Why marketers should take note of social robots

Read more

Winning the retail game is really tricky at this point in time. Many retailers have declared themselves as bankrupt. But yes harnessing t...

Vanessa.M.Magers

​Bricks and clicks: Balancing digital and physical to win the retail game

Read more

Excellent article, Thank you.

Steve Beards

How Aprimo hopes to help marketers tackle distribution of content, funds and data

Read more

Latest Podcast

More podcasts

Sign in