May 07, 2024

Nest founder: "Smart Home" is a pseudo-concept

At the recent GigaOM Roadmap conference, Tony Fadell and GigaOM founder OM Malik talked about the story before and after the acquisition by Google and the changes in the company after the acquisition. At the same time, he also talked about his views on the current smart home and smart hardware entrepreneurship.

Tony said that they officially started the acquisition negotiations with Google in August last year, and the acquisition was officially completed in February this year. In the six months, the most talked about by Tony and Google executives is not the amount of the acquisition, but how the company culture is integrated and how to use Google's vast resources.

Tony said that after the acquisition, the change in Nest, Tony mentioned three aspects, one has more budget in marketing, Nest began to have money to do large-scale TV advertising, if Nest is still an independent company, certainly not There are so many market budgets; second, Nest can coordinate more resources, such as they just have their own office building; third, with the support of Google, Nest has acquired several companies such as Dropcam.

Nest founder: "Smart Home" is a pseudo-concept

Nest and Google's cultural integration: data driven and intuitive drive

The above changes are all due to the fact that Nest is more rich after the acquisition. But Tony is more concerned with maintaining the company's culture. Tony came to Silicon Valley in 1991, at General Magic, and the culture of the company has had a profound impact on Tony. He said that the culture is the most sustainable thing: products and companies will change, but culture can always exist.

Tony, for example, said that the products that entrepreneurs are building now may not be worth mentioning in five years. Tony used to build an iPod at Apple, but Apple announced the discontinuation of the iPod Classic earlier this year. He didn't regret it, because the iPod has a new generation of iPhones.

But the preservation of culture does not mean that culture will remain the same. Nest has acquired several companies whose cultures are integrated with the culture of Nest and both parties need to be appropriately adapted and adapted. At the same time, after joining Google, Nest's corporate culture and Google's corporate culture will also collide and merge.

To say the collision of culture, the biggest point is that Google is a data-driven company, all decisions are rational; and Nest is more focused on design, the company has a lot of emotional places. Fortunately, Nest can maintain its own practice after joining Google, and Google CEO Larry Page also fully understands them. Tony believes that relying entirely on data can make people lose their intuition. This intuition has a lot to do with the feeling of users using the product.

But relying on intuition to make decisions does not mean completely abandoning data. Tony put forward a word: knowing intuition, that is, knowing the data before making a decision, and also need to find data to support the decision after making the decision. But always, personal intuition is dominant, not just starting from the data, and doing the AB test endlessly.

In addition to the collision of culture, Nest and Google also have a fusion. For example, in the company's assessment system, Nest has adopted Google's OKR assessment system. OKR (ObjecTIve and Key Results) requires employees to write down the goals and key results for the next quarter, and everything that is not written into the indicator can be refused. Tony said this helps employees learn to say "no".

"Smart Home" was abused

In addition to proposing "informed intuition," Tony also referred to "the home of knowledge" as a substitute for "smart home." He believes that the term smart home has been used up, and "smart" gives people a feeling of being smarter than people, but in fact these hardware are still far from being able to do so. “Knowing the home” means that the hardware and people at home can interact and communicate.

Tony believes that many smart hardware products are now smart and smart, or networked for networking, which is actually unnecessary. The most important thing is to make a product that can solve the problem, and this product should be acceptable to consumers.

At General Magic, Tony did what they did "the iPhone 20 years ago", which can receive emails, download apps, etc., but because the features are too advanced, they take 4 hours to tell the consumer about the product. What is the use. At that time, the function was relatively simple, and the Palm Pilot, which was the main mobile address book, was successful.

This is actually a matter of timing. Tony believes that the most timely product should be a product that can solve the next core problem and then evolve on this product. For example, the iPad did not suddenly appear. Many companies tried tablet products before the iPad but all failed. The success of the iPad has a lot to do with the iPod and iPhone.

Tony is cautiously optimistic about the era of smart watches that may be about to open. He believes that the biggest challenge of smart watch products is battery technology. After the power is guaranteed, smart watches can provide more information for people and thus play a greater role. He mentioned that at the beginning of the invention of the watch, people also need to keep on winding. This seems to be an interesting coincidence.

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