Why do Google Buy Nest ?

First I have to congratulate Tony and Matt for the sale of Nest to Google for $3.2 Billion read their blog here ! What a fantastic ride ! The big question is then, why do Google put this amount on the table for a smoke detector and a thermostat ? Like all technology company acquisitions there are more behind it then the public will know. In my view this acquisition is the next step for Google to rule the Internet Of  Things, that has become the new buzzword everyone have to mention all the time. To understand Google´s rational we have to look at a few trends. We have been used to use our phones and tablets to connect with our 1000+ friends via Facebook and other social media tools. Many people have also connected it to information their heart rate, work out distance, GPS, restaurant visited and so on. And of course published this together with a picture of their healthy sushi meal.  We also see a rapidly  increasing trend that we want to connect to our belongings. On my phone I can monitor and control my car, I can see through the surveillance cameras outside my house, I can control the temperature and lights on my cabin and so on.  Nest took this to the next level by connecting us directly to each individual thermostat and fire detector in the house. In addition to that they developed devices that “learned” about our lives and adapted to it. Of course we need to check in with them daily, they have a soul! Actually the devices understands us Tony and Matt are super smart guys. When they left Apple I am sure they had a vision far beyond what we have seen so far, and they have build a team that can execute this vision. This is what Google paid $3.2 Billion for. I am sure we will see many internet connected gadgets from Google in the time to come. This is a war where we as users are what they are fighting for. The big players are Apple and Google followed by companies like Samsung. This war opens huge possibilities for inventors and start-ups. The need for all the “Things” that connects to internet will grow so fast that there is now way any company can come up with all the right ideas and develop all the right technology fast enough through organic growth. So go out and invent new things that connects to your phone ! I would like my kids toothbrushes to connect to an app so I can see that they are really brushing their toots for minimum 2 minutes. I also want it to take a daily picture, or maybe a monthly x-ray so it can detect hidden holes. If you think about it there is no limit to where this can go. Like it or not.. We are actually willing to trade 2 weeks for less then one day of battery lifetime in our phones for this. The new question is not the battery lifetime, but the battery charging time. I hope the battery lifetime continues to exceed the charging time.

3 responses to “Why do Google Buy Nest ?

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