Bosch has announced the acquisition of Skyline Automation, a building automation solution provider in the United States. Since commercial building is considered a strategically important area which remains growing, in this approach the German engineering and electronics giant expects to strengthen international business by providing integrated services for this segment.
To be specific, the acquisition is actually performed by Bosch’s subsidiary, Climatec, which is located in Phoenix, Arizona. Known for its expertise in both building automation and systems integration, the company provides installation and connectivity services for a variety of technical systems in buildings. A significant advantage for tapping into building automation is to diminish up to 40% of energy consumption.
Based in Clifton, New Jersey, U.S., Skyline Automation together with its 40 employees created $12 million USD in sales in 2015. On the other hand, its acquirer Climatec, which became Bosch’s subsidiary also through a buyout in 2015, has concentrated on the western United Stated until the present.
“In acquiring Skyline, we are bolstering our activities in energy and building technology at a technical level and expanding our presence in the North American market, which is showing solid growth,” said Dr. Stefan Hartung, a member of the board of management at Robert Bosch GmbH and responsible for the Energy and Building Technology business sector. “Following the takeover of Climatec, this is the next strategic step on our path to becoming a single-source provider of connected systems and services for buildings.”
With the help of Skyline Automation, Bosch will come up with integrated solutions with energy and building technology and further broaden new possibilities in the market, especially when service providing is critical.
According to market experts, global market for intelligent building technology is expected to expand, with an average annual growth rate of 34 percent. By 2022, it will grow form the current 6 billion dollars to approximately 25 billion dollars.
Bosch has established an extensive business portfolio via acquisition, specializing in both software and sensors. As a result, it is relatively beneficial for Bosch to develop and offer services for connected world.
Bosch’s Energy and Building Technology business sector generated sales of 5.1 billion euros in 2015, applying a bunch of technologies such as the Thermotechnology, Security Systems, and Service Solutions divisions, as well as Smart Home and Energy Storage Solutions provided by its subsidiaries.
The nascent Service Solutions division, despite established just months ago earlier this year, thrives with stead paces, and its sales will by estimated increase by 15% each year in the future.
In 2015, more than 120 million customers on behalf of 1,000 companies throughout 14 countries deployed Bosch’s Service Solutions, four times the sum in 2013.
While accumulating smart home connectivity progressively assuages users’ burdens by eliminating tedious tasks, expert projects that the global smart home market will climb to 10 billion euros before 2018. Besides, 15 percent of all households in the world—-equals to 230 million households—-will deploy smart home devices by 2020. Foreseeing the great potential, Bosch accelerates its paces to gaining foothold in this segment.