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Nest Learning Thermostat Proven to Save Energy

Independent and In-House Research Shows Nest Thermostat Saves Customers

10 Percent to 12 Percent on Heating and 15 Percent on Cooling Bills

Palo Alto, California — 02 February 2015 — Nest Labs, Inc. (www.nest.com) today shared results from three energy-savings studies that showed on average, the Nest Learning Thermostat™ saved customers about 10 percent to 12 percent on their heating bills and 15 percent on their cooling bills. This translates to an estimated average savings of $131 to $145 a year. The three studies mark the first large-scale energy-savings research of the Nest Thermostat and demonstrate the energy-savings potential of properly programmed thermostats – a measurement that has been elusive and an area of controversy.

Nest is a learning thermostat. It remembers what temperatures you like, creates a custom schedule for your home, and automatically turns itself down when you’re away. Once it’s learned your schedule – as soon as three days after installation – Nest can begin paying for itself. And with 95 percent of Nest Thermostats running a schedule, it’s clear that customizing Nest to your lifestyle is attainable and easy – no confusing programming or needing to manually adjust the schedule with the change of seasons.

“Nest is committed to being the industry leader in measuring and sharing energy-saving results,” said Ben Bixby, general manager of energy services, Nest. “While we always knew that the Nest Learning Thermostat helps people save energy, we now have independent, third-party evidence of how much it can save. With this information in hand, customers can feel even more confident about investing in a Nest Thermostat and our energy partners can be assured that energy-efficiency programs involving Nest will have an impact.”

The studies looked at customers across the U.S. and analyzed their energy use before and after they installed the Nest Thermostat. Of the independently funded, designed and evaluated studies, one was performed by Energy Trust of Oregon and the other by Vectren, a utility company based in Indiana. A third study was performed by Nest using a national sample of Nest customers across 41 states who had also enrolled in Nest’s MyEnergy service.

Programmable Thermostat Energy Savings: A Myth?

Proof of energy savings from programmable thermostats has been elusive for decades. The U.S. Environmental Protection Agency (EPA) and a number of thermostat manufacturers, including Nest, have at various times said that programmable thermostats could save customers 20 percent on their heating and cooling bills. In most cases, the calculations are based on an assessment of how much a well-programmed thermostat could save versus a thermostat left at a constant temperature at all times. However, this approach is imprecise, because (1) very few programmable thermostats run a schedule that accurately reflects occupants’ schedules and (2) people with a manual thermostat often make temperature adjustments at various points as opposed to maintaining a constant temperature. Due in part to the difficulty of getting real savings data, in 2009, programmable thermostats lost their Energy Star rating.

Getting the Most out of the Nest Learning Thermostat

The Nest Learning Thermostat learns about you and your home to program itself and save energy, and it gets better over time thanks to regular software updates. While it automatically adapts to changes – sensing how long it takes to heat up or cool down your home and whether you’re home or away – it performs best when you teach it well. To help Nest customers get the most out of their thermostats, Nest has published a list of recommendations here. And starting February 9, for the first time, customers can speak with a live Nest Energy Advisor, who will provide customized guidance to help achieve savings from the Nest Thermostat.

White Paper Available for Download

The results of the three studies are outlined in the Nest Thermostat energy-savings white paper, which is available for download at www.nest.com/press/#documents.

About Nest

Nest reinvents unloved but important home products, like the thermostat and smoke and CO alarm. The company focuses on delighting customers with simple, beautiful and thoughtful hardware, software and services. The Nest Learning Thermostat™ and Nest Energy Services offerings address home energy consumption, and Nest Protect: Smoke + Carbon Monoxide™ helps keep people safe. Nest products are sold in the U.S., U.K. and Canada, and are installed in more than 120 countries. For more information, visit www.nest.com.

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  • Prices per kWh used for calculation were $0.1275 for electricity and $0.0324 for natural gas based on average monthly residential prices in the US using US IEA data (https://www.eia.gov) and currency conversion of 1 USD = 0.759528 GBP. Learn more at  nest.com/thermostats/real-savings.