Google acquisition of Nest has been cited as the paroxysms which lead to a turmoil in Google…
Here the discussion ahead as to the anecdote of what exactly happened during the course of this collaboration which eventually lead to its failure.
The spell of technological advancement in home automation!!
Domotics or home automation is an important concept of the internet of things which is running across the globe. Today smart working has not only enabled the internet connected devices just to reside in our houses but has also made the management and the efficient monitoring of all these appliances useful or necessary in household mystique in a more of proficient way.The proprietorship of Nest was developed in the year 2010, by the prominent co-founder of former Apple engineer division Tony Fadell and Matt Rogers.
Home Automation companies even gained more access in the world ever since in 2010 the Nest labs came into being and they released the first product which was the Nest learning thermostat.
In 2011 the company also created a small smart smoke carbon monoxide detectors and security cameras. Nest technology aimed at providing the customers with a hi-tech which could operate conjoint enabling the consumer to share their usage data among themselves and their actions could be automated based on the preferences of the owner of the house maker.
The parable of Nest lab origin which soon was looked upon by Google.
Originated as Nest Labs the company accomplished to develop the Nest learning thermometer in 2011 with the most impressive technological features of home services, followed by which in the consecutive year of October 2013 Nest successfully developed innovative products such as the smoke and carbon monoxide detector.
In 2013 when Tony Fadell, then CEO of Nest wanted to sell of their Nest division to Google, He cited to two main criteria over which he wanted the work to be taken forward in the following year, the foremost thing which he wanted was that the operating budget would come from the Google end itself and with that he wanted that Google should remain intact to the Nest key executives and the engineers associated with the preposition.
It was in the year 2014 that Google acquired the company for the roundabout 3.2 US billion dollars. The major decision of acquisition of NEST under Google was taken by the than CEO Tony Fadell and the co-founder Matt Rogers but soon they both got Departed from the organisation because of which many of hostility was experienced in the acquisition
In June 2015, the Nest labs commenced the acquisition of security camera domain with the technological consortium Dropcam. Nest acquired dropcam for 555 million US dollars with the aim to develop high in class security camera unit which would prove to be the best of its kind in its home technological services.
In was in the year 2015 itself that Nest being a part of Google witnessed a major corporate restructuring because of which Nest got separated out as an individual entity and felled under the alphabet organisation. It was indeed because of this lack of collaboration and coordination among Google and Nest that they both were left as just jointed divisions which were operating independent of one another they were not focused on the smart home devices itself India.
Lack of coordination and corporate culture distress went along the acquisition
During this course of time a very high employee hike was also seen with the acquisition of Google over Nest as per which in 2012 there were only 130 employees working under Nest division of Google but by the end of 2015 roundabout 1100 employees had been added to the centre. After the Google met this corporate restructuring and had get reorganised with alphabet incorporation, almost for a period of about three years that is from 2015 to 2018 Nest operated independently.
When Tony Fadell left the organisation the former workers of the organisation reportedly complained about the less freedom and about the drastic changes in the work culture which they witnessed. Ever since such work culture distress only Alphabet wanted to sell Nest in early 2016 so that they could invest a lot in their internal project known as “project amalfi” but because of such upheaval were seen illustrious they selling off attempt and negotiation failed.
The acquisition proved as an Instance of Corporate culture extreme failure which was seen in case of nest and Google acquisition especially after when the organisation got disengaged from the fabulous leadership Tony Fadell. And this was indeed cited as of the most those are the most notable reason for calling the nest and Google acquisition a disaster ….
In the year 2016, because of such turbulence faced by the company due to this partnership, finally Google tried selling off the nest division because as of then then wanted to make a considerable amount of investment and Nest acquisition was throttled as an inaccurate decision.
As of explicit review made above it can certainly be inferred that the big problem which came across with the Google acquisition of Nest was when Google got restructured into alphabet so as to focus only on releasing its own project products which were not connected to each other and drew the equity to their its own brand name only, out of conviction because of which Nest was left out as a separate business entity which could not prove effectual in its venture.