UPDATED 06:52 EST / JANUARY 18 2014

Internet of Things review: Google buys Nest, doubles down on smart eyewear

Google is sparing no expense to extend its web dominance over the Internet of Things. On Monday, four weeks after buying out robotics engineering company Boston Dynamics, the search behemoth announced that it has entered an agreement to acquire Nest Labs for $3.2 billion in cash.

Nest, which earlier this month secured $150 million in a fourth funding round that raised its valuation to approximately $2 billion, develops connected appliances that communicate with other devices over Wi-Fi and utilize analytics to optimize energy usage according to user behavior. The company has two products on the market: the Learning Thermostat, which has proven to be a hit among consumers, and an equally sophisticated smoke detector that responds to hand gestures and speaks with a human voice.

In addition to smart homes and military robots, Google’s multi-pronged strategy to conquering the connected universe also encompasses wearable gadgets. The search giant’s secretive X lab, which which develops Google Glass, is testing a groundbreaking contact lens that uses an embedded glucose sensor to help diabetics keeps tab on their blood sugar and adjust their insulin dose. The prototype, which will take at least five years to reach consumers, works by monitoring glucose levels in tears of diabetics and then wirelessly transmitting the data to a mobile device. There are plenty more features to come.

“We’re testing prototypes that can generate a reading once per second. We’re also investigating the potential for this to serve as an early warning for the wearer, so we’re exploring integrating tiny LED lights that could light up to indicate that glucose levels have crossed above or below certain thresholds,” Google’s Brian Otis and Babak Parviz wrote in a Thursday blog post.


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