Google Nest Labs Goes The Dropcam Way

Google Nest Labs Goes The Dropcam Way

Google Nest Labs is all set to buy a home-monitoring camera startup Dropcam for around $555 million. This takes the Internet giant into the very home of the consumers. Nest and Dropcam have both confirmed the acquisition in separate blog posts. What remains a secret is the price tag of the deal. Google has not commented on the acquisition so far.

Google is now expanding into new markets with efforts from high speed Internet to advanced scientific research involving robotics and self-driven cars. It has purchased Nest which is characterized by smart thermostat and smoke alarms for around $3.2 billion which is the second biggest acquisition in the history of the Internet.

When Google acquired Nest, th e deal was discussed as the a good move to tap the fast-growing smart home automation market. But this was a time when consumer appliances and Internet services were being merged. The state now is very different. Concerns have been raised about the privacy implications for users in acquisitions such as these.

Dropcam is useful for monitoring homes and offices through its camera hardware and software. It will follow the privacy policy of Nest. The latter company has declared this in a blog post. Data will not be shared with firms such as Google without the permission of the user.

Dropcam's backers are Kleiner Perkins Caufield & Byers, Accel Partners and Menlo Ventures among others. Nest Labs has also said it will buy the video-monitoring and security startup for around $555 million as part of the move to become the dominating operating system for connected devices in different homes across the world.

Nest is believed to be paying cash for the startups and it will drop Dropcam to develop products and services for linking users to their homes. The deal also includes regulatory approval. The association is said to be one with mutual benefits because product offerings are very complementary.

Dropcam sells Internet connected video-monitoring for livestreaming of videos to mobile apps. Alerts are send based on activity that small cameras sense and the users can then communicate with people at their home. This is the top notch home-monitoring and security system that makes a lot of sense for those who want to use Google's expertise for the same.

However, the acquisition has stirred a hornet's nest when it comes to privacy. With more issues being raked up about just who has access to your private data and surfing habits as well as how he/she/they are using it becoming more apparent, Google needs to take care that it continues to adhere to its motto “Don't Be Evil”. Uncontrolled monitoring can often become more of the curse than a blessing under many circumstances. But with privacy policies in place, it is hoped that that problem may not arise here.