LG Acquires Dutch Smart Home Hub Pioneer

LG Electronics (LG) has recently made a significant move in the smart home industry by acquiring an 80 percent stake in the Dutch smart home pioneer Athom. This strategic acquisition is aimed at enhancing LG's AI capabilities and connectivity offerings.

The undisclosed deal includes plans for LG to eventually acquire the remaining 20 percent of Athom, a company based in Enschede, within the next three years. The integration of Athom's connectivity solutions, which encompass a wide range of over 50,000 smart home devices, with LG's 'Affectionate Intelligence' ThinQ technology is expected to bring about a new era of smart home innovation.

Athom has distinguished itself by developing its own hub and operating system to establish an independent smart home ecosystem. Its flagship product, Homey Pro, stands out for its ability to connect with more than 50,000 devices using various connection methods such as WiFi, Bluetooth, Z-Wave, Matter, and Thread. This integration aims to create an AI-powered home environment that can better understand user preferences and efficiently manage appliances and IoT devices, including third-party products.

Since its inception in 2014, Homey has gained a strong foothold primarily in Europe, amassing hundreds of thousands of users. The expansion of Homey devices to regions like Australia, Singapore, the US, and Canada underscores its growing global presence. The Homey App Store, curated by Athom, offers a diverse selection of around 1,000 applications for seamless device connectivity and control, featuring popular brands like Philips Hue and IKEA.

LG's acquisition of Athom marks a pivotal moment for its AI home business. Jung Ki-hyun, executive vice president and head of LG's Platform Business Center, emphasized the strategic synergy between the two companies, highlighting the goal of expanding an open ecosystem and integration services to deliver enhanced experiences to customers. Athom will continue to operate independently post-acquisition, maintaining its business operations and brand identity to unlock further growth potential.