LG Electronics pours $60M into U.S. startup Bear Robotics

Tech

Published: 12 Mar. 2024, 12:03 Updated: 12 Mar. 2024, 17:14

LG Electronics pours $60M into U.S. startup Bear Robotics

LG Electronics' CLOi service robots at a logistic center [LG ELECTRONICS]

LG Electronics will invest $60 million in Silicon Valley-based robotics startup Bear Robotics, ramping up its effort to find its next growth driver.

The investment will be made through new share purchases which will make LG Electronics its biggest single shareholder once the deal is closed.

Bear Robotics was founded by former Google software engineer Ha Jung-woo in 2017. Its flagship product is an autonomous service robot called Servi. They are serviced not only in Korea but also in the United States and Japan.

"The latest equity investment will contribute greatly in securing 'winning competitiveness' when the service robot market is just starting to take off," said Lee Sam-soo, chief strategy officer at LG Electronics in a release. "In the mid to long-term perspective, LG Electronics will make the robotics business a future growth engine by navigating various opportunities and merging differentiated technology such as embodied AI or advanced robot manipulations."

LG Electronics has targeted 100 trillion won ($76.1 billion) in revenue by 2030 as a smart life solutions company by expanding its business scope in the mobility, commercial and virtual spaces.

LG Electronics has a manufacturing line for commercial robots in Gumi, North Gyeongsang and has experience operating them in airports, hotels, restaurants as well as logistics centers.

It expects Bear Robotics' global R&D infrastructure will contribute to establishing an industry-standard in the robotics platform business and lower its entry barrier.

BY JIN EUN-SOO [jin.eunsoo@joongang.co.kr]