Nest for $555 million to buy a camera startup Dropcam, look at the cloud of the latter

June 21 —

Google’s intelligent thermostat and smoke sensor Nest has announced that will be $555 million U.S. households surveillance cameras Dropcam entrepreneurial company.

4 months ago, Google announced a $3.2 billion acquisition of Nest. And Nest the said it would not rely on Google, independently of Dropcam. Nest co-founder and vice President of engineering Matt Rogers (Matt Rogers), said the Dropcam will be integrated to the Nest of brand and culture, and shall abide by the privacy policy of the Nest.

Rogers said: “the team is very harmonious, and we like the Dropcam products. We all value from out of the entire user experience, and hope to help people when away from home, still keep connection with environment in the home.”

he said at the same time, the two sides have reached a deal on Friday, but the deal is not yet complete. Dropcam team plans to move from San Francisco to Nest in palo alto, California office.

Dropcam has never disclosed sales, but sales of the company’s security cameras on amazon has been top priority. Recently, the company has also begun by apple and best buy stores selling products. Dropcam newest camera sells for 199 dollars, and low resolution, visual range smaller version sells for 149 dollars.

however, Dropcam is not a simple equipment company. As early as 2012, a report said Dropcam is a focus on cloud computing hardware startups. The company initially tried to use the user’s existing camera to record video, but then found that product can’t meet the demand on market, therefore began to develop their own camera products.

the Dropcam another business model is to provide online storage service. Users only need to pay $99 a year, can be a week to keep the video Dropcam cloud storage service. Dropcam said recently that 39% buy camera users also pay to use the cloud storage service.

earlier, when Google acquisition Nest, many users are worried about privacy issues. The Nest acquisition Dropcam trading more aggravated that concern. Rogers said, however, such concern is not necessary. He said in a blog post: “like Nest user data, Dropcam will abide by the Nest’s privacy policy. Therefore, in the absence of user license, user data will not be Shared with anyone (including Google). Nest the paid service mode, advertising is not a part of our strategy. When Dropcam, we also use the same strategy.”

before the acquisition, Dropcam has completed more than 48 million dollars in financing, investors, including Institutional Venture Partners, Accel Partners, Menlo Ventures and kleiner perkins caufield & byers. In recent months, the company has completed some of the key recruitment, including apple’s senior director of product development, Andy hodges (Andy Hodge). (the more the high)

source: sina science and technology