Nest Merged Into Google Hardware Team

Nichole VegaFeb 09, 2018

In an announcement on Wednesday that, admittedly, took me by surprise, Rick Osterloh, Google's Senior Vice President for Hardware and Nest's CEO Marwan Fawaz revealed that the company was bringing Nest and Google's Hardware teams together. The closer collaboration between the teams is meant to create new integration opportunities that result in smarter home devices.

He was also quoted in an interview with CNET where he said, "All of Google's investments in machine learning and AI, they can very clearly benefit Nest products. It just makes sense to be developing them together", Osterloh says.

By offering an ecosystem that works closely not only with its various constituent parts, but with the world's biggest mobile operating system, seamlessly, it will send a message to Amazon that the fight is far from over. The company doubled its hardware portfolio last year by selling more devices in 2017 than the previous two years combined.

Nest has shipped more than 11 million products since first becoming available in 2011, Fawaz said.

Google, which is also a part of Alphabet, houses companies such as Android and YouTube among other profitable subsidiaries.

Ultimately, it was decided that Nest Labs would be separated from Google, so it could represent the "N" for Alphabet.

The company writes that by bringing Nest back into Google, it can "supercharge Nest's mission". This has proven to be quite foolish, as it has seemingly slowed Google's innovation in the smart home market. The report of the integration of both the company's was announced on a blog post on the company's website.

The move unifies Google's growing hardware team, which designs smartphones, laptops and speakers, with Nest, which sells video doorbells, security cameras and thermostats that automatically adjust settings based on user behavior. As of now, Apple is the least of Google's problems as the former is essentially a newbie in the field with its Siri-powered HomePod speaker just about to roll out.

In other words, future Nest products will come integrated with Google's AI technology which will likely make every new Nest devices an access point for the Google Assistant. As a thermostat originally created to shave down a customer's bill and help the planet in the process, Nest has been reimagined as one cog in a larger smart home machine.

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