Google's hardware team absorbs Nest in order to compete with Amazon

Google's hardware team absorbs Nest in order to compete with Amazon

Google's hardware team absorbs Nest in order to compete with Amazon

Smart home manufacturer Nest is being taken under the wing of Google. Thus, developing the products together turns out to be a feasible strategy.

The deal involves the acquisition of some 2,000 HTC engineers, including the teams that had worked together with Google in the past, which is around one-fifth of HTC's engineering workforce, and acquiring rights to HTC's designs and intellectual property.

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".

The move will see the two join forces to "combine hardware, software and services", read an excerpt of a post on Google's blog.

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ALSO READ: Google buys Nest - will the search giant lay golden or rotten eggs in it? Nest's current CEO, Marwan Fawaz, will now report to Google hardware chief Rick Osterloh, and the merger will mean that Google's artificial intelligence, like its smart assistant, will be better baked into Nest products, . Consumer devices from Google include Home smart speakers, Pixel smartphones and Chromecast streaming devices.

The product of choice that is now dominating the smart home is smart speakers, with Google and Amazon accounting for 94 percent of the devices in use, according to Strategy Analytics Inc.

A united front could be helpful in competing with the other ubiquitous digital helpers of today - Amazon's Alexa and Apple's Siri. Nest builds connected devices including thermostats, security cameras and doorbells that can be controlled from your mobile devices. The new structure will make it easier to integrate Google's artificial intelligence and digital assistant into new Nest products. While Assistant and Nest are already working together perfectly, Google will be looking to build its AI helper directly into Nest's cameras and thermostats. "We've leveraged AI capabilities from Google in the past, especially in the computer vision space and facial recognition", Fawaz told CNET.

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