LG Electronics acquires majority stake in Bear Robotics to bolster robotics portfolio

LG Electronics has solidified its position in the robotics sector with the acquisition of a majority stake in Bear Robotics, an innovative startup based in Silicon Valley, specialising in AI-driven autonomous service robots. This strategic acquisition aligns with LG’s ambition to enhance its capabilities in robotics and is seen as a pivotal move for the company’s growth in this dynamic industry.

The decisive action came on January 22, when LG’s board exercised a call option to acquire an additional 30 percent stake in Bear Robotics. This followed an earlier investment of $60 million in March 2024, which allowed LG to secure a 21 percent stake in the company, paired with agreements for further investment. The completion of the transaction means LG will hold a controlling 51 percent stake in Bear Robotics, effectively integrating it as a subsidiary.

Sam-soo Lee, Chief Strategy Officer at LG Electronics, commented on this significant investment, stating, “This additional investment underscores our dedication to positioning robots as a pivotal growth engine for the company, reflecting our belief in their inevitable role in the future.” He further articulated LG’s commitment to innovation in robotics across commercial, industrial, and home applications.

Founded in 2017, Bear Robotics has made a name for itself by developing AI-powered indoor delivery robots, which have been deployed in markets across the United States, South Korea, and Japan. The company is renowned for its expertise in distributed multi-robot control and fleet management systems, marking it as a key player in the expanding robotics landscape.

As part of the acquisition strategy, LG plans to integrate Bear Robotics with its established commercial robot business, primarily centred around the LG CLOi Robots. The top management team at Bear, including CEO John Ha, will continue operations, focusing on synergistic growth and stable business continuity within LG’s robotics framework.

In addition to commercial applications, LG is also looking to bolster its home and industrial robots segments by leveraging Bear Robotics’ technological advancements. The LG Home Appliance Solution Company will lead initiatives aimed at creating a cohesive ecosystem where home robots can understand and interact intelligently with family members and connected appliances.

A notable project within this vision is the upcoming Self-driving AI Home Hub, known internally as Q9, expected to launch later this year. The Q9 will incorporate advanced multimodal sensing capabilities, enabling it to navigate complex home environments and respond effectively to user needs. With its ability to manage household appliances and IoT devices, coupled with features like voice recognition provided by Microsoft, the Q9 aims to enhance user interaction significantly.

In the industrial sector, LG’s commitment is evidenced through its Production Engineering Research Institute, which is enhancing revenue streams by integrating AI with traditional manufacturing practices. A leading innovation from this initiative is the Autonomous Vertical Articulated Robot, which employs a variety of sensors to optimise material handling, assembly, and inspection processes, showcasing LG’s strides toward automation in industrial operations.

During an address at CES 2025, LG Electronics CEO William Cho highlighted the company’s broader aspirations within the robotics industry, stating, “Robots are a certain future.” He hinted at an expansion of product offerings beyond hospitality and logistics delivery to encompass innovative home solutions like the Self-driving AI Home Hub and other domestic robotics.

The acquisition of Bear Robotics is expected to forge significant synergies across LG’s robotics portfolio, as the industry shifts its focus towards AI-centric automation. The company plans to create an integrated software platform for its range of robots, utilising technology from Bear Robotics to ensure a consistent and high-quality user experience across varied applications. This approach aims to reduce development timelines while enhancing operational efficiency.

In addition, LG’s robust manufacturing and supply chain capabilities further augment its operational responsiveness, positioning the company favourably in the competitive robotics market. By integrating commercial robotics with its existing B2B solutions, including hotel technology and signage, LG intends to develop tailored solutions that address specific corporate client needs, reinforcing its market presence in an evolving technological landscape.

Source: Noah Wire Services