Google embraces Safety & Security to challenge Amazon’s Alexa

The company formerly known as Google that goes by the name Alphabet is quietly expanding its hardware reach. First by scooping up certain HTC assets that helped develop Google’s Pixel smartphone, which we think is a back-door way of protecting its core search business as voice becomes a more dominant method of search. Second, Google is embracing our Safety & Security theme at Nest as it rolls out several new products, including a new alarm system that comes with Google Assistant support. Given the home insurance break once receives once an alarm system is installed, we suspect Google is looking to challenge Amazon and its Alexa digital assistant using an end-around strategy.

Among the announcements, the company is introducing a new alarm system called ‘Nest Secure’ that comes in the form of a $499 home security starter kit.

The kit includes all components of the Secure system including one base called Nest Guard where an alarm, keypad and motion sensor are housed, two ‘Nest Detect’ motion sensors that you can put around your house, and two ‘Nest Tag’ key fobs for controlling the system.

The battery-powered Nest Detect sensors can be used to detect both motion and open or close movements and will be available to purchase separately to expand the system for $59 each. Nest Tags will be available to purchase separately for $25.The company is also taking the wraps off a new video doorbell camera called ‘Nest Hello’ launching sometime early next year in the US and Canada before coming to Europe later in 2018

And lastly, Nest is introducing an outdoor version of its security cam called Nest Cam IQ Outdoor that comes with face recognition and, of course, weatherproofing for $349.

The company is also announcing Google Assistant support, although there is unfortunately still no mention of HomeKit despite the company earlier this year confirming that it would consider it.

Source: Nest announces ‘Secure’ alarm system, ‘Hello’ video doorbell, & Nest Cam IQ Outdoor (still no HomeKit) | 9to5Mac

About the Author

Chris Versace, Chief Investment Officer
I'm the Chief Investment Officer of Tematica Research and editor of Tematica Investing newsletter. All of that capitalizes on my near 20 years in the investment industry, nearly all of it breaking down industries and recommending stocks. In that time, I've been ranked an All Star Analyst by Zacks Investment Research and my efforts in analyzing industries, companies and equities have been recognized by both Institutional Investor and Thomson Reuters’ StarMine Monitor. In my travels, I've covered cyclicals, tech and more, which gives me a different vantage point, one that uses not only an ecosystem or food chain perspective, but one that also examines demographics, economics, psychographics and more when formulating my investment views. The question I most often get is "Are you related to…."

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