Alphabet’s Nest Working on Cheaper Thermostat, Home Security System – Bloomberg (Mar 8, 2017)
There are several interesting elements here – a cheaper Nest thermostat, a thermostat with the power to control the temperature in individual rooms, and a home security system. Bringing the price down could certainly help drive adoption – $250 is a little steep for a single thermostat, but it really adds up when you have several (as we do in our home). Of course, one of the reasons why you might have several Nests installed is to control the temperature in different rooms more effectively – we have a number of different zones for just this reason, and no smart thermostat I’ve seen can manage more than one zone at once. Of course, this might also require a professional HVAC technician to create some new zones in your home – I can’t imagine how it would work without those changes. However, all that said, I think the security system is potentially the most interesting thing here, because it opens the door to the kind of service model I think is key to the future of the smart home (see the narrative attached to this post). When Nest’s new CEO was installed, I pointed out that he comes from a services background and would be an appropriate leader to drive a transition from a retail model to a services model – I’m very curious to see if we see a move in this direction when this hardware launches. That could drive much stronger growth in Nest’s business, but it would likely be heavily reliant on partnerships, which is the other important part of such a shift.
The company, topic, and narrative tags below will take you to other posts with the same tags. The narrative link(s) will also take you to the narrative essay which provides additional context behind the post.
Vote for or share this post
Use the Like button below to vote for this post as one of the most important of the week. The posts voted most important are more likely to be included in the News Roundup podcast episode I do each week. Or use the sharing buttons to share a link to this post to social networks or other services.