The smart home market is still warming up and the legacy giants do not want to exclude: In the truest sense of the word. This morning, Assa Abloy, the 23 billion dollar heavy Swedish giant, who owns Yale and many other brands, announced 19459007 this morning that it is the American Smart Lock Maker
The terms of the deal will not be published, but we have asked both August and Assa Abloy and will update this post as soon as we learn more. Subject to regulatory approvals, the two companies expect the transaction to be completed by the end of the year.
Oddly, the only official note of the transaction came from Assa Abloy himself and not from August, and it is not clear whether co-founder and CEO Jason Johnson will join as part of the deal. (The other co-founder is Yves Behar, the well-known product designer, and it is not clear what role he will have.)
"I am very pleased to include August in the ASSA ABLOY Group," said Johan Molin, president and CEO of Assa Abloy. "This is a strategic addition to the group and strengthens our position in the market for intelligent residential doors.
"August Home strengthens our Smart Door strategy for private homes with complementary smart locks, the expansion of video door bells and comprehensive home delivery solutions," added Thanasis Molokotos.
Assa Abloy is the definition of an old armament giant, who now finds his steps in a new world characterized by the technology. The company has been operating in some form since 1881 (although the current listed company exists since 1994). The company employs 47,000 people and has an annual turnover of approximately 8 billion US dollars.
August has been in the area since 2013 and has 90 employees. In the emerging networked security room, however, it has become market leader with its smart home locks and door bells.
August has grown pretty fast over the past few years thanks to distribution agreements with mega-retailers in the US like Best Buy. In July, the hardware startup
In an exchange with August early in the morning, the company announced that it will continue to operate under its existing brand, albeit as part of the US division of Assa Abloy. The news comes in a turbulent time for Assa Abloy – it
We will update this post as we learn more.
SOURCES: TECHCRUNCH.COM GSMARENA.COM MACRUMORS.COM
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