Dive Brief:
- Nest Labs, developer of smart-home thermostats and other products, has purchased Revolv, the developer of an app which integrates a variety of energy saving products.
- Nest has discontinued selling Revolv's product, though it will continue to offer the service to existing customers.
- Nest will fold the Revolv system into its Works With Nest platform. The companies did not reveal financial details of the deal, though Greentech Media reports Nest reportedly raised almost $7 million in venture capital investment.
Dive Insight:
Nest Lab's acquisition of Revolv continues the acquisition strategy used when it purchased Dropcam over the summer. But Greentech Media notes that while Nest will ultimately shelve the Revolv product, it integrated Dropcam's technology into its connected system of energy solutions. That makes sense, though, as Dropcam has a growing platform and the video product fit into Nest's idea of creating a holistic home information system,
Revolv's technology works in the background, and GTM speculates the deal could be a way for Nest to integrate a new technology protocol called "Thread" which Nest partners have been advocating.
"We have been inspired by Nest since our foundation, and are thrilled to be part of the Nest family," Revolv said in a short statement on its web site. "Together, we’re going to create some amazing products and continue to unify the connected home as part of the Works with Nest program."
