After the partnership was announced, shares in ADT skyrocketed as much as 98% premarket.
ADT is one of the most recognisable security brands in the world. Google along with ADT is promising to deliver a smarter, secure, and helpful home.
In addition, ADT customers will get access to Nest Aware, which can digitally store the video recording history from security cameras for up to 30 days. The ADT's sales and installation will make the Nest devices more accessible than the competition, at least in the US.
The investment is in exchange for shares of a newly-created Class B common stock having all the rights and preferences of ADT's common stock except for the right to vote on the election, appointment or removal of directors, the tech giant said on Monday.
As part of the investment, Google's Nest smart home devices - such as cameras and displays - will be sold and installed by ADT.
The two companies will be joining their forces to provide the customers with advanced, integrated helpful home security solutions.
Both companies have also committed $150 million in the partnership to cover marketing, product development, technology and employee training. With the ADT deal, Google can offer its products and services to the six million Americans who already use ADT, further building its reputation as a security provider. The company employs greater than 20,000 people and serves over 6 million customers from more than 300 locations and nine monitoring centers and states it operates "the largest network of security professionals in the U.S". They are now trading at $16.48 per share, up 91.41%.