- LG Electronics advances in smart home technology through acquiring an 80% stake in Athom, a Dutch company known for its Homey smart home hub.
- Athom’s Homey hub, connecting 50,000+ devices, will integrate with LG’s platform post-acquisition, retaining independence to enhance mutual business, research, and platform growth.
OUR TAKE
William Cho, CEO of LG Electronics, remarked, “LG is evolving into an intelligent space solutions company that connects and expands experiences in various living spaces. We will continue to make strategic investments to shift our business paradigm, as evidenced by our successive entries into platform-based appliance services and solutions such as the webOS advertising platform and AI home.”
-Vicky Wu, BTW reporter
What happened
LG Electronics has taken a significant stride in the realm of smart home technology with the acquisition of an 80% stake in Athom, a Dutch smart home platform company renowned for its Homey smart home hub. This move is aimed at strengthening LG’s position in the AI-driven home innovation sector by combining Athom’s extensive connectivity capabilities with LG’s Affectionate Intelligence. Athom’s Homey hub connects over 50,000 devices using various protocols, offering a broad ecosystem that LG intends to integrate with its LG ThinQ platform to create personalized AI home environments that deeply understand customer preferences.
Following the acquisition, Athom will maintain its independence to preserve its growth potential and unique strengths while fostering synergies in business, research, and platform utilization with LG. The acquisition is pivotal for LG’s transition from a hardware-focused business to a software-based platform company, reflecting its commitment to becoming a “Smart Life Solution Company” that provides continuous and differentiated value to customers through smart home devices.
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Why it’s important
LG’s strategic acquisition of Athom signals its dedication to revolutionising the AI home market by bolstering the scalability and adaptability of its smart home solutions. By merging Athom’s comprehensive IoT device connectivity and open ecosystem with LG’s own LG ThinQ platform, LG aims to set new benchmarks in the industry for AI home implementation. This move not only broadens LG’s ecosystem to include a vast array of third-party devices and services but also enriches its understanding of customer behavior and preferences.
“The acquisition of Athom is a cornerstone for our AI home business,” said Jung Ki-hyun, executive vice president and head of LG’s Platform Business Centre. “By leveraging the synergy between the two companies, we will expand our open ecosystem and external integration services, aiming to provide customers with more diverse and multidimensional space experiences.”
