Bosch Buys $190 Million Integrator Climatec

By John Honovich, Published Jan 16, 2015, 12:00am EST

The big deals continue.

This time, Bosch has bought a US integrator, Climatec, that did ~$190 million in 2014 revenue.

Manufacturer / Integrator

Bosch is well established as a combination manufacturer / integrator in their home market of Germany. However, this is the first acquisition Bosch has made of a security / building integrator in North America.

Manufacturers owning integrators is a controversial topic in the industry, one in particular, that independent integrators generally dislike / fear.

That noted, Bosch is joining a number of other large companies that offer both, such as TycoIS / American Dynamics / Software House, Pelco / Schneider Electric, Siemens, Johnson Controls, etc.

Bosch's New Integrator

Climatec offers a range of building services, from building automation, energy, HVAC, safety and security.

On the video side, Climatec lists products they carry, besides Bosch, to include Avigilon, Axis, Milestone and Genetec. Climatec has been a Bosch security dealer for more than a decade and won a truck from Bosch in 2012.

Climatec operates in the US Southwest. We would not be surprised if Climatec expanded to other parts of the country or Bosch made complimentary acquisitions to cover the rest of the country.

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"Largely Independent"

In the announcement, Bosch says that Climatec will run as a 'largely independent entity, noting that:

"Climatec will continue to represent and integrate numerous leading manufacturers’ product lines across its wide range of services, including Bosch products."

We expect that Bosch will provide incentives and/or price discounts for selling more Bosch products, while allowing them to sell rival products. That would be similar to what is done by other hybrid manufacturers / integrators, like Tyco.

[UPDATE: Bosch Security provided feedback declaring that they will NOT show any preferential treatment for Climatec, in terms of discounts, etc.]


We believe large manufacturer brands will find increasing value / attraction to owning integrators. Selling to independent integrator is increasingly harder, with it easier for less known rivals, with lower costs to undercut bigger brands. Owning one's own integrator helps to secure channel / distribution of a manufacturer's products.

Good or Bad Move - Vote?

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