Tony Fadell's Nest Has Made A Nest

The creator of the world's first learning thermostat, Nest, appeared on CNBC's Squawk Box Tuesday morning to talk about the Google GOOG Ventures-backed product. Tony Fadell, Nest founder and CEO, was the former senior vice president of Apple's AAPL iPod/iPhone division. In addition to talking about his product, he offered some brief insight into Apple's future earning capability from his viewpoint as former employee and technology consumer. "So, what is the learning thermostat? What we do, is, we watch your patterns," said Fadell. Essentially, the deceive follows your temperature patterns to program a schedule around how you heat your home. The Nest is also compatible with Apple technology, and its settings are adjustable through an app on the iPhone and iPad. The Nest has been available online and in some stores, like Apple. Now, Nest is partnered up with some energy companies to expand their business. Nest has been partnered with Reliant in Texas for over nine months now, experimenting in Texas's deregulated market, where energy costumers are attracted and retained in a similar fashion to to a cellphone company's. "It's not a monopolistic state for energy, like many of the other states in the U.S., so they have to have unique services," said Fadell. The company made an arrangement that gave costumers a free Nest after signing up for a two-year energy package. The Nest can be easily installed by costumers, with over 90 percent installing it themselves in under 30 minutes. The easy-to-use device has become so popular, that retailers and others from around the globe are purchasing them for resale in countries where the Nest isn't offered One of the Nest's features, the leaf, sets an ideal temperature that helps homes stay energy efficient. When costumers follow the Leaf, they save energy and money. The Nest has been declared by many as an innovator, but what does the CEO and former Apple employee, Fadell, think about his old company and their future innovations? "I understand the team incredibly well. They're amazingly smart people. What people have to understand, and shareholders too, is that it took five years from the time the iPod came out to the time the iPhone was started, seven years to actually get it to market. Then another three years for the iPad," said Fadell. "These innovations just don't pop out of the oven every six months. You actually have a lot of time to figure it out."