3 ms·
Perhaps a stupid question, but where does the $1bn. valuation come from? Amazon already make hardware, including cloud cameras, would it have been so hard for t
by Osmium 9y ago
Perhaps a stupid question, but where does the $1bn. valuation come from? Amazon already make hardware, including cloud cameras, would it have been so hard for them to make a doorbell in-house?
- xkjkls 9y agoCompanies generally make these types of acquisitions for two reasons: customers or technology. Since the technology Amazon already has for the most part, they're obviously acquiring them to leverage their customer set (... or prevent a competitor from doing the same).
- acjohnson55 9y agoJust guessing, but perhaps they see it creating considerable leverage to gain or retain Prime subscribers in a way that would be costly to replicate.
- prostoalex 9y agoRing has some existing cash flow through their video monitoring business. There’s also some premium to be had for tight integration options - current Ring doorbell owners would likely opt for a Ring indoor camera (if one existed) versus competitor’s, just to avoid the hassle of dealing with two apps and paying for two subscription plans.
- evgen 9y agoGiven that Amazon just bought Blink a few months ago you can see the shape of the Amazon smart home ecosystem coming together...
- prostoalex 9y agoThe Blink acquisition is less obvious to me, considering Amazon already had a branded Dropcam competitor at pretty competitive price https://www.amazon.com/Introducing-Amazon-Cloud-Cam/dp/B01C4UY0JK https://www.amazon.com/Introducing-Amazon-Cloud-Cam/dp/B01C4...