Assa Abloy Acquires August

By: IPVM Team, Published on Oct 25, 2017

The mega access control manufacturer, Assa Abbloy, has acquired one of the most well funded access control startups, smart lock manufacturer August.

This comes just months after August raised $25 million from VC firms.

Inside, we analyze the acquisition, looking at revenue, market valuation, potential fit with Assa Abbloy and how this might impact Assa Abloy's presence in the consumer/smart home market where the door controls giant has generally been weak. 

*** **** ****** ******* manufacturer, **** ******,*** *********** ** *** **** well ****** ****** ******* startups, ***** **** ************ ******.

**** ***** **** ****** after ****** ****** $** million **** ** *****.

******, ** ******* *** acquisition, ******* ** *******, market *********, ********* *** with **** ****** *** how **** ***** ****** Assa *****'* ******** ** the ********/***** **** ****** where *** **** ******** giant *** ********* **** weak. 

[***************]

August ***********

**** *****'* ****** ********* ******** *** ******* ** the *****. ** ******** was ***** ** *** *****, though ** ****** **** the *********** **** ****** Assa *****'* ********, ****** due ** ****** ***** unprofitable, ****** *** *******-****** startups ** ***** *****. 

**** ***** ********** *** acquisition's ******* ** ***** residential ********:

****** **** *********** *** residential ***** **** ******** with ************* ***** *****, expansion **** ***** ********* and ************* ********* *** home ********

*** *********** ******** ** refers ** ***** ********* be Yale, which ****** *** ******** ** **** ***** in ****, *** ***** **** has * ***** **** offering, ** *** *** had **** ******* ** the *** ******* ***** August *** **** * strong ********** ** ***** national ******.

*** *********** ** ******** to ***** ****** *** end ** ****, ******* approvals, ***** ** ** not ********** ********* *** deal. 

August ******* *********

** ******** ****** **** ******** **** be in *** $** - $*** USD *****. ** ***** release, **** ***** ****** ******'* 2018 ******* *********** ** ****** $60M. ***** **** ****** *** sound **********, ** ********* from *** **** **** August's ******* **** *******, which ***** ** **** easier ** ******* **** 3 ******** ********, ** not *********. ******* ** ****, ****** ******** 300% ****** ********, ***** if **** ***** *** 2017 ******* ************* ****. 

Factors ********* *********

** ******** **** ***** **** * few ******* ******* *** ******. August *** *** ***** **** Silicon ****** ********* ***** look ***, *** ***** preference ** ********* ** ride ****** *** *** huge *******, ******* ** just ** *** "**** bets", ****** ** ******** they ***** **** **** off ****** *** ******** less. The ****** $*** ******* ***** ********* *** ******* *** enough **** ** ******* operations *** * *****. Additionally, ****** *** ********** likelihood *** ***** ******, as *********/*** ******** ******** to **** ********* *** acceptance **** *** ******, and theirs products **** **** **** reviewed *** ************* ******. 

August **********

****** *** ** ***** entrant **** *** ******** smart **** ******, **** a ****** ******** ** fit **** * *********** deadbolt **** * ***** knob, * **** ****** that **** ** **** for ********* ** *** smart **** ************ ** their ******** **** ***** without ****** ** **** out **********, ****** ****, etc.

***** ** *** *** tested *** ****** ****, online ******** *** ********* positive ** ********** *******, *** ******* ********** review ***** (*.*.: *-********** ***).

*** ******* *** ************* ***** **** ****** ******, ***** ***** ****** and *********, ******** ***** ******, market ***********, *** ***** valuation.

Competitive ********

******'* ***** *** ***** referenced ********* ***** **** offerings ************** *******, **** ***** well-known ****** ** *** consumer **** ******. ***** smart **** ******** **** ********* **** *********, ** ** the **** ** ****, ****** **********. **** made ****** *** ** the *** ****** ***** lock ********* *** ******* part ** * ***** organization.

August ********, **** ** ******

********* ** ********** **** Assa *****, ****** **** continue ** ******* ***** its *********** *****, **** the *** ********* ** ******* of *** ****** ********/******* after *** ***********.

Expands **** ***** ******** ********

****** ***** **** ***** * strong ******** ** *** consumer/DIY *****, ***** **** have *** ****** ********. Their ***** **** ******** currently **** ***** ****, ***** itself *** ******** ** ****, **** **** **** oriented ** ************ **********. **** Abloy **** **** **** an ******** ** *** video ******** ****** **********'* ****** ************** **** ********. ** expect ****** ** ****** consumer-focused, *** *** ****** part ** **** *****'* commercial *********, ****** **** will ****** ****** **** of **** *****'* ********* to ***** **** *******, opening ** *** ******* for ******.

 

Downside *** ******

**** *** **** ******, August **** ** **** being * *** ******* Valley ******* ** * growing *****, ** ******** the ******** ******** **** of ** $** ****** conglomerate. ************ *** ***** disruptive, and *** ** **** so **** *** *********** target, *** *** ********, have ******* *********** ** **** and *******. ********* ** August *** ****** *** a ******* ******* *** wind ** ********** ******** becoming **** ** * very ***** ************, ***** could **** ** *** ****** leaving *** *******, ****** the ******* *********** ** August **** **** ***** more *********.

Outlook *** *** ********* ********

***** *** ******* ***** for ******** ******** ** growing ****, **** ******* this ** ** **** more ********** *** *** smartlocks ************.

***** * **** ** activity **** ******** *** beginnings ** *** ********* like *********************,*****, *****, ****, *** Otto ***** ******, *** startup ***** *** ********** has ******* *** ** now ******** ** ************ growth *** ******* ** M&A ****** **** *** brands.

Impact ** ***** ****/**** ******* *******

****** *** *** ** the *** ****** *********** smart **** ******** **** made ***** *** * company **** **** ***** to ***. **** *********** helps ******** *** ***** lock ****** ** *******, and *** ***** **** the *** *** ***** startups, ****** ** **** does **** ** *** startups ** ***** ****** relatively ***, ***** ** the ******* ******** *****.

**** *****'* ******** ******** in *** ***/*********** ****** may **** ***** ****** of ******** ******** ****, or ***** ******* *********** in ********, ****** ** which ***** ******* ********* and *********** **** ***** the ******** ** ***** locks.

**** ***** ***** ******'* upcoming ***** ******** ** a ****** **** ********** their ****** ** ******* the *******. ** *** August ***** ******** ** successful **** ***** **** to ******* ** ******* buying ********* **** ****, *** has ****** ~$*** ******* ** funding, ** *******, ******* *** ********** in *** ***** ******** segment ** ******* **** August/Assa *****.

** ******'* ***** ******** does *** **** ** to ************, ** ** possible **** ***** ***** seek *** ** *********** in **** ******* ** well.

*******, ** ***** ****** to *** **** ************* of ***** ****, ***** doorbell, *********** ******, *** HVAC ****** ********* ** larger ******* ** *** consumer ***** ** **** segment ********* ** **** and **** ********** ***** homeowners.

Comments (7)

* ****** ******* **** lock *** **** -- it ***** **** ** the **** ** *  household ****.

 

*** **** ******** ** the ***** **** ***** great, *** ***** ******* and ***** ** ***.

* ***** **** *** to * *****, ** does **** ****** ***** on *** **** ** the ****. *** **** also ***** ** ** advantage **** **** ** Schlage ** ******* ***'* have: ** *** *******, the **** ***** **** nothing ** *********.

**** ** ********* *** the ****** ******. ****'** aimed ** ** * hipper, ******* *********** **** others. ** *** **** one ** *** ***** security ******** ** **** in ***** ******. **** market ** **** ****** conscious **** **** ******, so ***** **** ** pick **** * ***** variety ** ****** ** deadbolt *** ******** **** is **********. * ***'* mind *** **** ** some ** *** ***** deadbolt *****, **** **** specific **** ** ******* styles, but * ***'* ****** them ** **** ** the **** ******, ********** types ** ********. 

**** ** ******** * conversation **** ***** ****** and * **** **** revisiting *** ***** *** the **** ******* ****** or ******, ** *'** been ****** ** **** something *** * ********* house ** *** **** the ********** *** ****** needs * ****. 

**** ** ******** * conversation **** ***** ****** and * **** **** revisiting *** ***** *** the **** ******* ****** or ******...

**** ******* *********. *** membership ******* * **** accounting ** *** */* products ***** ********** *** their ********** *****-****, ** well ** *** ********** considerations ****.

******* *** *******!

;)

****'* *****.  ****'* ** exceedingly ****** **** *******.  Most *****, ***** & I **** ***** ********** like ** * **** looks **** ****** ** avoid ******** **** *** families, ** ** ***** drill **/******* ** **** random *********, *** ** we *** ********* ***** actions **** ** *********.

**** **********: * ****** an ****** ** ** Apple ***** ****** ***, as ** ******* **** (an ****** ******* *******, imagine ****!!), ******* **** thought.

****** ************ ** ****** apparent ** ***** ***** work ******* ** ******** was ** *** **** it ******** ******* ******, as **** ** * slight ****** ********, ** make ** *****.

* *** ***** ** return ** *** ** makes *** ********** ****** ** **** that * **** **** it ******.  ****, ********* the ****** ************* *** buying * $*** ******** ingot ** **** *’* well ***** **** ** and **** * *** around *** ****** *** underlying **********, *** ****** should **** ** ********.

* ****** ** ****** considered **** *** **** as * ******** ****** mitigation ********. 

**’* ********* *** ********** of * ******** ***** knob:

******

*** *** ** **** something **** * ******* electrified ******* ****? ****'* what * ********* ** my *****, *** * was **** ** *** very ***************-********* ***** **** match *** **** ** our *****. ***** *** a *** ** ***** options *** ***** ***, as *** *** ********* associate *** **** ** lever **** ***** *****.

***, * ********** **** this *** ******* ********* the ****** **** *** door **** ** *** a ******* **** ** fit ** ***** ** whatever *** **** ***, but...you're *****. *** *** do ********.

****, *** *** **** do ******** *** **** with ** **** ** automation *********** ******* *** can ****** ******* * relay ** * *** power ****** **** ******** your *********** *** ***** up. ** ******** ***** whether *** *** **** together ********* **** ** API ** ********. ***, it's *** ***** -- no ***** ******** ******, which *** * *** sticking ***** *** **.

****** **** ** ***** blast ******** ******* "**** ** ********* *,***,*** users!"

*** ** ****** ******* product **** *** ******* first ** ******, *** is ** *** *** cost *** ** *********, that ***** ************ *****.

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