Amazon’s reported $1bn acquisition of video-doorbell maker Ring has closed, giving the company a significant lead over rival Google in the potentially lucrative home security market.
The deal, announced in February and closed today, means Amazon now owns a leader in DIY video security systems. Ring makes popular wireless doorbells with cameras and a range of home security cameras, recently launching a wireless home security system with keypads, contact sensors and motion detectors.
Ring becomes Amazon’s second largest acquisition to date, following its $13.7bn deal last year for Whole Foods Market. The financial details of the deal were not released.
Dave Limp, Amazon’s head of devices under whose division Ring will now report to, said of the deal: “Ring was doing great. It was growing remarkably year-on-year by any metric, including in the number of customers but also by traditional financial metrics, from already sizeable numbers — so we feel like it was a great deal for both sides.”
Amazon marked the close of the deal by slashing the price of Ring’s original video doorbell from £159 to £89, a move that it is expected to be the first of many across Ring’s product line.
Ring founder and chief executive Jamie Siminoff, who will stay in place under Amazon, said: “I call this deal a milestone and not an acquisition or an exit, because I see it as a step along the road of our mission to provide effective and affordable protection for neighborhoods.
“Combining with Amazon allows us to come into a large organization that has a lot of different support mechanisms, and leverage them, be it technology, a service or something else, to scale much faster than we would have been able to do before.”
Siminoff said Amazon’s scale will enable a price change that will enhance the accessibility of Ring’s products and bring…
Source: Mobile Tech Today