In a recent development, Google acquired Nest Labs founded by two ex-Apple employees, Matt Rogers and Tony Fadell, which makes household devices connected by internet like thermostat and smoke detectors. With this acquisition, Google took the first major step to enter the homes of people in a bid to go beyond its stronghold of computers and internet. The whole deal took place when both parties agreed on a sum of 3.2 billion dollars. Nest Labs however, will keep functioning independently under its own trade name but the chief executive Tony will be reporting to Larry Page.
However, with this latest acquisition, users of Nest Labs product have raised concerns about the sharing of the user’s personal data with Google. However, all concerns regarding this issue was allayed by their chief executive as he announced that Google has agreed to Nest’s privacy policy and there will be no sharing of user data with Google. They will only make use of customer data to improve their products and services and for nothing else. However, there is a good chance that in future the Nest’s products will be integrated into Google which could help the users of Nest to log into Google about any heads-up about the existence of smoke in their home and see the temperature as well. The products of Nest Labs have a reputation of the highest quality and its not surprising, as most of the top management of Nest Labs previously worked in Apple and introduced products like iPod and iPhone.
This acquisition has been a move which nobody could predict as Nest was on its way to get a huge funding which would have made it a company worth two billion dollars. Also, despite being a company full of ex-Apple employees, Apple was not in the run for the acquisition.