Skip to main content

Google closes $3.2billion deal with Nest

Nest has officially been adopted into the Google family.

The $3.2 billion (£1.9 billion) cash deal for the digital home device maker closed on 7 February, boosting Google's once 12 per cent stake in the company to full ownership.

"We expect that the acquisition will enhance Google's suite of products and services and allow Nest to continue to innovate upon devices in the home, making them more useful, intuitive, and thoughtful, and to reach more users in more countries," the search giant said this week in its annual 10-K filing with the Securities and Exchange Commission.

The acquisition moved quickly after the US Federal Trade Commission last week granted an early termination to review the deal, meaning neither the FTC nor Department of Justice Antitrust Division could claim antitrust issues.

Nest co-creator and CEO Tony Fadell—former Apple iPod/iPhone head—continues to lead the company, which will operate under its own distinct brand. Fadell will report directly to Larry Page, according to Re/Code.

The company debuted in 2011, wowing consumers with its wireless Learning Thermostat, which allows control via Wi-Fi from any iOS device—iPhone, iPod, or iPad. The machine also works with a PC or Android smartphone to adjust scheduling, change the temperature, and check weather.

Nest expanded its lineup in October, debuting the Protect smoke-and-carbon-monoxide detector, which uses a photoelectric smoke sensor, a heat detector, and a carbon monoxide sensor to keep tabs on your household air quality and alert users of potential danger.

There is no word yet on just what the Nest team will be doing at Google, and whether their talents will be put to use in a new connected home segment, or utilized for wearables and mobile devices, too.