Dropcam
| Company type | Private |
|---|---|
| Industry | Technology, Consumer electronics |
| Founded | 2009 |
| Founder | Greg Duffy, Aamir Virani |
| Fate | Acquired by Nest Labs (Google) in 2014; services discontinued in 2024 |
| Headquarters | San Francisco , United States |
Area served | Worldwide |
Key people | Greg Duffy (CEO), Aamir Virani (COO) |
| Products | Dropcam, Dropcam Pro |
| Parent | Nest Labs (subsidiary of Google) |
Dropcam, Inc. was a technology firm headquartered in San Francisco, recognized for its Wi-Fi-enabled video streaming devices, Dropcam and Dropcam Pro, which allowed users to access live video through a cloud platform. On June 20, 2014, Nest Labs, a subsidiary of Google, acquired Dropcam for $555 million—a decision that co-founder Greg Duffy later described as a "mistake". In June 2015, Nest released the Nest Cam as the replacement for Dropcam Pro. Support for Dropcam's services was discontinued on April 8, 2024.
History
Established in 2009 by software engineers Greg Duffy (serving as CEO) and Aamir Virani (COO), Dropcam initially focused on creating software compatible with AXIS cameras before designing its own cost-effective video monitoring hardware aimed at residential and small business markets. The concept was partly inspired by Duffy’s father’s requirement for user-friendly security cameras.
Early investment came from Mitch Kapor. By June 2012, the company had secured $12 million in venture capital funding led by Menlo Ventures, Accel Partners, and Bay Partners, followed by additional backing from Felicis Ventures and Kleiner Perkins. In 2013, Dropcam raised an additional $30 million led by Institutional Venture Partners, bringing total funding to $47.8 million. According to Duffy, the company experienced revenue growth of approximately 500% annually.
Dropcam’s cloud infrastructure was hosted on Amazon Web Services, and by 2014 the volume of recorded videos exceeded that of YouTube.
The product found popularity with families monitoring children, pet owners, and small enterprises, with users often highlighting its effectiveness in security scenarios such as capturing burglaries. Duffy emphasized its role in preserving important family moments and enhancing safety.
The success of Dropcam encouraged competitors like SpotCam and Simplicam to enter the market during 2014-2015. Following Nest’s acquisition of Dropcam, the Nest Cam was introduced in 2015 as its successor.
On April 7, 2023, Google announced that support for Dropcam and Nest Secure would cease on April 8, 2024.
Cloud Recording
Dropcam provided an optional encrypted cloud recording service that automatically stored video footage on a rolling basis for user review periods up to one month depending on subscription level. While all customers could access live video streams, approximately 40% subscribed to cloud recording plans. Users had the ability to download videos, create clips, and share public streams.
The Cloud Recording feature included timeline markers activated by motion or sound detection to help users quickly identify relevant events. Additionally, Dropcam introduced a beta Activity Recognition function that learns typical motion patterns to deliver tailored alerts, thereby improving security monitoring effectiveness.