LG Electronics recently said it has made a $60 million strategic investment in Silicon Valley-based StartUp Bear Robotics.
This comes as it moves to strengthen its business capabilities in the booming market of artificial intelligence-based service robots. The company was founded in 2017 by former Google software engineer John Ha.
Under a new stock purchase agreement, LG Electronics will become the largest single shareholder in the US startup specialising in AI-driven autonomous service robots.
Bear Robotics offers AI-powered indoor delivery robot services in the United States, South Korea and Japan, reports Yonhap news agency.
“Rather than seeking short-term returns, this strategic investment is aimed at bolstering LG Electronics’ portfolio for long-term growth,” the company said in a statement.
The Startup is well known for its expertise in platformising service robotics software, robot fleet management technology and cloud-based control solutions.
LG Electronics said the latest investment is also in line with its long-term strategy to transition from a hardware-centric to a software-oriented company, following its exit from the mobile phone manufacturing business in 2021.
The move is also part of a broader strategy outlined by LG Electronics CEO Cho Joo-wan in January, which emphasized exploring investments or mergers and acquisitions within the service robotics market.
The company is anticipated to grow in robotics market is anticipated to grow from $36.2 billion in 2021 to $103.3 billion by 2026, according to LG Electronics.
The move is also part of a broader strategy outlined by LG Electronics CEO Cho Joo-wan in January, which emphasized exploring investments or mergers and acquisitions within the service robotics market. The global service robotics market is anticipated to grow from $36.2 billion in 2021 to $103.3 billion by 2026, according to LG Electronics.
LG Electronics has already taken steps into this promising sector, operating a guide robot service at Incheon International Airport, west of Seoul, since 2017 and introducing delivery and disinfection solutions for diverse commercial settings.
(Image courtesy:Zeebiz.com)
