Google to buy smoke alarm-maker Nest Labs for USD 3.2bn
Google is reportedly acquiring smart thermostat and smoke alarm-maker Nest Labs Inc. for a whopping 3.2 billion dollars.
The search giant said that Nest would continue to operate as its own distinct brand after the all-cash deal closes.
According to Fox News, the deal is the second largest in Google's history after the 12.5 billion dollars acquisition of mobile phone maker Motorola in 2012.
An analyst at Wedbush, Shyam Patil said that it is not far-fetched to see Google expanding Nest's Nest technology of thermostats and smoke alarms into other devices over time.
Patil said that home automation is one of the bigger opportunities when it comes to the Internet of everything and connecting everything and Google's acquisition furthers the strategy.
The report said that Nest is comprised mostly of former Apple employees like Tony Fadell, a well known entrepreneur credited with creating Apple Inc's iconic iPod music player, along with co-founder Matt Rogers and a host of talented engineers and designers.
(Posted on 14-01-2014)