Google Claims 6.6% Interest in ADT

Google Claims 6.6% Interest in ADT

Tech company will invest $450M in smart home security solutions

This morning, Google announced it will be investing $450 million in ADT, and work with the Florida-headquartered firm’s 20,000 technicians to sell and install the search giant’s Nest family of smart home products.

With the investment, Google claims a 6.6 percent stake in ADT as part of a long-term investment. The two companies will first attempt to reach more individual consumers and small businesses, and then work on building and selling next-generation smart home security offerings, they said.

Both companies have also committed $150 million each for co-marketing, product development, technology and employee training — provided they reach certain milestones.

Over time, Nest’s devices will enhance ADT’s security monitoring and become the “cornerstone of ADT’s smart home offering,” said Rishi Chandra, vice president and general manager at Nest.

“The goal is to give customers fewer false alarms, more ways to receive alarm events, and better detection of potential incidents inside and around the home. It will also provide people with more helpful notifications that make everyday life more convenient, like package detection. ADT customers will also have access to Nest Aware, a service that keeps people informed about important events at home, including intelligent alerts and event history recording for up to 30 days,” Chandra wrote.

Partnership details
The partnership pairs ADT’s more than 20,000 professionals together with Google’s suite of helpful home hardware, manufacturing technology and vertical technology stack.

ADT + Google will offer customers an advanced, integrated helpful home security solution. The partnership is underpinned by a long-term commitment from both companies to making safe, secure, private and differentiated products accessible to new and existing customers.

The simplified yet innovative ADT + Google security solution will sit at the center of the new, helpful home, and advances in machine learning will transform the smart home security customer experience.

ADT expects to offer certain Google devices to its customers beginning this year and to expand the integration in 2021. The complete ADT + Google helpful home security solution will utilize a secure platform for a seamless experience that prioritizes privacy and interoperability for greater customer peace of mind and choice.

ADT’s shares more than doubled in the pre-market trading on the announcement.

About the Author

Ralph C. Jensen is the Publisher/Editor in chief of Security Today magazine.

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