Google’s Nest Labs acquires Dropcam for $555M

Home automation company Nest Labs will acquire the video-monitoring startup Dropcam, which makes Web-connected home security cameras, in a deal worth $555 million in cash. The deal, signed Friday, has yet to close.

Nest will fold the company into its existing line of smart-home products, which currently includes the Protect smoke detector and Learning Thermostat. Dropcam’s products will now be under Nest’s privacy policy.

Despite that assurance, the deal is likely to prompt privacy concerns considering Google bought Nest in January for $3.2 billion. The deal, however, was sealed solely by Nest, the company said, and will be used to expand the Nest brand into home security and video monitoring.

source:cnet