LG Electronics (LG) has strengthened its robotics portfolio by acquiring a majority stake in Bear Robotics, an innovative Silicon Valley startup focused on AI-powered autonomous service robots.
LG aims to expand its presence in the commercial robot market through Bear Robotics. Concurrently, LG intends to leverage its AI and manufacturing expertise to advance both home and industrial robotic solutions.
On January 22, LG’s board exercised a call option to obtain an additional 30% stake in Bear Robotics, following an initial $60 million investment in March 2024 that secured a 21% holding along with an agreement for the additional stake. Upon completion of this option, LG will command a controlling 51% stake in Bear Robotics, officially integrating the company as a subsidiary.
The integration of Bear Robotics into LG’s commercial robotics business, specifically the “LG CLOi Robots”, will allow for the confluence of their technologies and resources. Bear Robotics’ management team, led by CEO John Ha, will remain intact to ensure continuity and drive synergies within LG’s commercial robot initiatives.
In the industrial robotics sector, crucial to LG’s Smart Factory initiative, the Production Engineering Research Institute is driving significant revenue growth through the application of AI and digital transformation strategies.
The acquisition of management control over Bear Robotics is anticipated to facilitate synergies throughout LG’s robotics ecosystem, particularly within commercial robotics. As the industry increasingly prioritizes AI-centric solutions, this partnership is set to substantially enhance LG’s software capabilities in robotics.
LG’s CEO William Cho, speaking this month at CES 2025 in Las Vegas, emphasized the importance of this investment, stating, “Robots are a certain future,” and hinted at plans to expand beyond the current focus on hospitality and logistics delivery robots to include the Self-driving AI Home Hub and other home robots to achieve “Zero-labor Home.”
Also Read: LG invests USD 10 million in AI and deep Tech startups via VC firm“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,” stated Lee Sam-soo, Chief Strategy Officer at LG Electronics. “We will persist in driving innovation across all sectors of robotics, encompassing commercial, industrial and home applications.”
LG aims to develop an integrated software platform that unifies commercial, industrial, and home robotics, leveraging Bear’s existing technology to ensure a consistent and high-quality user experience across diverse applications.
