Assa Abloy Acquires August

By: IPVM Team, Published on Oct 25, 2017

The mega access control manufacturer, Assa Abbloy, has acquired [link no longer available] 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, **** ******, *** acquired [**** ** ****** available] *** ** *** most **** ****** ****** control ********, ***** **** manufacturer ******.

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

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

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

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

**** *****'* ****** ********* [link ** ****** *********] ******** few ******* ** *** terms. ** ******** *** given ** *** *****, ****** it ****** **** *** acquisition **** ****** **** Abloy's ********, ****** *** to ****** ***** ************, common *** *******-****** ******** at ***** *****. 

**** ***** ********** *** 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 ***** (*.*.: *-********** ***).

*** ******* *** ************* ***** **** ****** *** *** [**** ** longer *********], ***** ***** brands *** *********, ******** ***** growth, ****** ***********, *** total *********.

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)

I always thought this lock was dumb -- it looks HUGE on the back of a  household door.

 

The Yale touchpad on the other hand looks great, and feels elegant and slick in use.

I agree with you to a point, it does look pretty large on the back of the door. But that also gives it an advantage that Yale or Schlage or Kwikset don't have: on the outside, the lock looks like nothing is different.

This is important for the target market. They've aimed it at a hipper, younger demographic than others. It was also one of the first security products to sell in Apple stores. That market is more design conscious than many others, so being able to pick from a wider variety of styles of deadbolt but automate them is attractive. I don't mind the look of some of the other deadbolt locks, like some specific Yale or Kwikset styles, but I don't prefer them to some of the more modern, minimalist types of deadbolt. 

This is actually a conversation that Brian Rhodes and I have been revisiting via email for the past several months or longer, as I've been trying to find something for a remodeled house to fit both the automation and design needs I have. 

This is actually a conversation that Brian Rhodes and I have been revisiting via email for the past several months or longer...

FOIA request initiated. The membership demands a full accounting of the A/C products under discussion and their associated trade-offs, as well as any subjective considerations made.

Release the letters!

;)

That's funny.  That's an exceedingly boring FOIA request.  Most times, Ethan & I talk about attributes like if a lock looks good enough to avoid scrutiny from our families, if we could drill it/jackpot it with random handtools, and if we can configure IFTTT actions when it activates.

Full disclosure: I bought an August at an Apple store months ago, as an impulse item (an access control product, imagine that!!), without much thought.

During installation it became apparent it would never work because my deadbolt was so old that it required extreme torque, as well as a slight inward pressure, to make it budge.

I was going to return it but it makes the bolt so much easier to turn that I have kept it anyway.  Also, providing the mental justification for buying a $200 aluminum ingot is that I’m well aware that if and when I get around to* fixing the underlying stickiness, the August should work as expected.

I wonder if August considered this use case as a possible return mitigation strategy. 

It’s basically the equivalent of a steering wheel knob:

*never

Why not go with something like a Baldwin electrified mortise lock? That's what I installed at my house, and I was able to get very architecturally-appealing knobs that match the look of our house. There are a ton of other options out there too, as you can basically associate any knob or lever with their locks.

Now, I understand that this may require replacing the entire door and door jamb to get a mortise lock to fit in place of whatever you have now, but...you're Ethan. You can do anything.

Plus, you can also do whatever you want with it from an automation perspective because you can easily trigger a relay on a 24v power supply with anything your imagination can dream up. No worrying about whether you can hack together something from an API or whatever. And, it's all local -- no cloud nonsense either, which was a big sticking point for me.

August sent an email blast recently touting "Help us celebrate 1,000,000 users!"

For an access control product that was neither first to market, nor is at the low cost end of offerings, that seems surprisingly large.

Login to read this IPVM report.

Related Reports

Dormakaba Presents Switch Tech Smartlocks on May 01, 2020
Dormakaba presented its Switch Tech smartlock at the April 2020 IPVM New...
Leica Presents AI LIDAR / Thermal / Visible Camera (BLK247) on May 06, 2020
Leica presented its AI multispectral BLK247 camera at the April 2020 IPVM New...
Proxy Acquires Ring Maker Motiv on Apr 29, 2020
Fresh off of raising $42 million, access startup Proxy has acquired...
Sequr Presents HID based Cloud Access Control on Jun 04, 2020
Sequr presented HID based Cloud Access Control at the May 2020 IPVM Startups...
Anyvision Presents AI Facial Recognition and Mask Detection on Jun 08, 2020
AnyVision presented its AI facial recognition and mask detection at the May...
NDAA Blacklist Delay Amendment Fails on Jul 24, 2020
The Blacklist Clause, which bans Hikvision/Dahua/Huawei users from doing...
Dahua Creates New Car Subsidiary as Current Electric Car Firm Struggles on Mar 19, 2020
Dahua has started a new "intelligent" car subsidiary, even as its current...
VSaaS Online Show June 2020 - On-Demand Recording of 25+ Manufacturers Presentations on Jun 24, 2020
The show featured 25+ VSaaS providers showcasing their latest services. The...
ROG Security - Cloud AI For Remote Monitoring on Jan 28, 2020
ROG Security is offering cloud-based AI analytics to remote guard companies,...
Milestone Presents XProtect On AWS on May 04, 2020
Milestone presented its XProtect on AWS offering at the April 2020 IPVM New...
Startup Calipsa Presents AI False Alarm Filtering on Jul 21, 2020
Calipsa presented its AI false alarm filtering platform at the 2020 IPVM...
Sunell Panda Cam Body Temperature Measurement Camera Tested on May 14, 2020
Sunell is far less well known than its gargantuan domestic competitors Dahua...
PSIM CNL Acquired By Everbridge on Mar 09, 2020
The end has finally come for CNL. Despite for years saying they would...
Vivotek LPR Camera Tested on Apr 15, 2020
Vivotek has historically sold license plate capture cameras but not LPR. Now,...
IPConfigure Presents Orchid Fusion VSaaS on Apr 30, 2020
IPConfigure presented Orchid Fusion VSaaS at the April 2020 IPVM New Products...

Recent Reports

Genetec CEO Declares "We Don't Negotiate Payment With Patent Trolls" on Aug 11, 2020
Are patent trolls like terrorists? Genetec's CEO is coming out strongly...
Hanwha AI Analytics Camera Tested on Aug 11, 2020
Hanwha has released their Wisenet P AI camera, adding person and vehicle...
Alabama Schools Million Dollar Hikvision Fever Camera Deal on Aug 11, 2020
The Baldwin County, Alabama public schools purchased a $1 million, 144-camera...
Dahua Taunts Australian Government, Continues To Sell Illegal Fever Cameras on Aug 10, 2020
Dahua is effectively taunting the Australian government by continuing to sell...
HID Releases VertX Replacement Aero on Aug 10, 2020
HID is replacing two established and broadly supported types of access...
NDAA Compliant Video Surveillance Whitelist on Aug 10, 2020
This report aggregates video surveillance products that manufacturers have...
Telpo China Temperature Tablets Tested on Aug 10, 2020
The provider for overseas companies ranging from Canon Singapore to US'...
Dangerous Hikvision Fever Camera Showcased by Chilean City on Aug 07, 2020
Deploying a fever camera outdoors, in the rain, with no black body, is...
"Grand Slam" For Pelco's PE Firm, A Risk For Motorola on Aug 07, 2020
The word "Pelco" and "grand slam" have not been said together for many years....
FLIR Stock Falls, Admits 'Decelerating' Demand For Temperature Screening on Aug 07, 2020
Is the boom going to bust for temperature screening? FLIR disappointed...
VSaaS Will Hurt Integrators on Aug 06, 2020
VSaaS will hurt integrators, there is no question about that. How much...
Dogs For Coronavirus Screening Examined on Aug 06, 2020
While thermal temperature screening is the surveillance industry's most...
ADT Slides Back, Disappointing Results, Poor Commercial Performance on Aug 06, 2020
While ADT had an incredible start to the week, driven by the Google...
AHJ / Authority Having Jurisdiction Tutorial on Aug 06, 2020
One of the most powerful yet often underappreciated characters in all...
SIA Coaches Sellers on NDAA 889B Blacklist Workarounds on Aug 05, 2020
Last month SIA demanded that NDAA 899B "must be delayed". Now that they have...