Nest CEO Steps Down After Company's Full Integration with Google's Home Division

By Karen Rice — Published July 18, 2018

Nest CEO Steps Down After Company's Full Integration with Google's Home Division

For the last three years smart-home developer, Nest, has operated as an independent entity under the umbrella of Alphabet, a Google parent company. 5 months ago, Google decided to make Nest part of their hardware team. It was announced yesterday that Nest CEO, Marwan Fawaz, is now stepping down from his position after the latest reshuffling. Now, Nest will be operating under the Google division that works on home and living room products and therefore ensuring a more thorough integration with Google's smart home efforts.

Since Fawaz became CEO two years ago, we have seen an impressive release of an abundance of products including an outdoor camera, a doorbell and a security system. Despite this, Fawaz's stepping down has also been linked to claims that Nest employees have been looking for someone with more direction and leadership experience. Although Fawaz will be sticking around at Google, working as an advisor, Nest will be operating directly under the supervision of VP of Home Products Rishi Chandra, who is currently responsible for most of Google's hardware efforts including Google Home, Google WiFi and more. "This is the natural evolution," claimed Chandra. "We thought, let's connect these things and build experiences that we really couldn’t do before."

The decision to keep Fawaz on as an advisor was reached by hardware chief Rick Osterloh. He released the following in a statement: "We are accelerating the merger of our Home and Nest teams to provide our users and businesses with even better services under the leadership of Rishi Chandra. Marwan Fawaz is a strong CEO with a track record of operational excellence who led the integration planning efforts and was responsible for determining our organizational strategy. Marwan has done a remarkable job driving revenue growth, improving product quality, expanding the product portfolio and user satisfaction at Nest. Nest’s employee retention and satisfaction have significantly improved over his time with the team. Unsourced comments suggesting otherwise are wrong. I am pleased to report that he will stay with us as an executive advisor for our hardware business, for Alphabet companies, and future strategic investments."

This of shift comes as no surprise. Nest's cameras now support Google's voice-powered "Hey Google" Assistant and the video doorbell now nicely syncs with Google Homes. As Nest becomes part of Google's home and living room product division, we may see further development of their products with the influence of Google resources and more direct access to their AI software.

 

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