Google buys Nest

Google just announced that it has bought Nest (producers of smart thermostats, and now smoke alarms too). Both sides (for now) are indicating that they’ll take privacy seriously.

Its clear that Google is chasing a strategy with the “internet of things”. Willing to bet they’ll make further purchases or create new products along these lines in the very near future – think connected burglar alarms (Rogers won’t be happy), smart door locks, or light bulbs that compete with GE’s connected product.

Its also clear that this is going to push other large tech competitors to do much of the same, for fear of falling behind. Expect much investment and many buyouts in this sector this year.