Google Acquires Nest For $3.2 Billion, Bets Big On ‘Internet Of Things’

 
 
 

Earlier today, Google announced a $3.2 billion acquisition of Nest Labs, the ‘Internet of Things’ startup founded by former Apple executive Tony Fadell, according to The Verge.

The acquisition is Google’s second-largest of all time — right behind the $12.5 billion Motorola Mobility grab in 2011 — and a big boost for futurists focused on the nascent ‘Internet of Things’/’connected home’ industry, which aims for inanimate devices to connect and communicate with each other.

Talk about a moonshot!

Fadell tells The Verge that Google ‘really understands the vision,’ and waved off references to previous interviews where he emphasized that his goal ‘was to build a really great business’…i.e. NOT sell.

Previously, Nest was in the midst of raising a $200 million capital round. The company has received strong reviews for its Wi-Fi connected thermostat (below), which learns user behavior, as well as its smoke and carbon monoxide detector.

Business Insider points out that Nest is one of the very few companies whose services users depend on at least twice/daily — a benchmark that Google CEO Larry Page emphasized as crucial to Google’s overall vision in 2011.

Fadell also told The Verge that Nest products will continue to be iOS-compatible, in addition to Android compatible.