Amazon has started 2019 with a fairly high pace of company acquisitions. The company thus continues to exploit the financial capacity and cash-flow generation it obtains from its core businesses.
In 2018 Amazon bought just four companies, although they had an average value of $1,000M each of those acquisitions, so far in 2019 it has already increased the number of companies acquired.
In the following post we will analyse the latest acquisitions of one of the major corporations that define technological development worldwide.
On 10 April, Amazon confirmed the acquisition of Canvas Technology, an American start-up focused on robotics, with a strong focus on enabling full end-to-end automation of the product shipping process
The company's capabilities go beyond fully automating warehouses, but it intends to provide for the shipment of goods using autonomous driving technology.
As this acquisition shows, Amazon does not want to lag behind in the development of autonomous technology by pushing the most operational area that can have a direct impact on the outcome of its core business, the sale and delivery of products.
In February, Eerowas acquired by Amazon for $97 million, an acquisition aimed at strengthening its position in individual homes.
Eero is a company dedicated to improving the Wi-Fi system in homes, the goal is to be able to reach every nook and cranny of the home with a Wi-Fi signal. To simplify, we could say that it is a company that offers small-scale signal distributors and repeaters that allow the distance that Wi-Fi signals cover to be greater.
This company is focused on the US geography, where houses tend to be larger and it is often a problem to have signal in every room or in the garden.
The acquisition of Eero aims to increase connectivity, which directly affects Alexa, making it an increasingly useful and attractive product for Americans.
Dispatch, like Canvas Technology, is a company working on the development of software and hardware to enable vehicles to be fully autonomous. Although the acquisition was made some time ago, it was only in February that the acquisition was made public.
In this case, the objective is none other than to acquire the company's patents on autonomous driving, pedestrian crossing reaction and the ability to introduce small autonomous delivery vehicles on pavements for final delivery to the home, in addition to its advanced safety patents.
CloudEndure was acquired on 8 January for $200M. It is a cloud computing company that develops business continuity software solutions for disaster recovery, continuous backup and live migration capabilities. CloudEndure is headquartered in the US, while R&D is based in Israel.
CloudEndure as of January 2019, the acquisition date, had raised a total of $31.2 million from private investors and companies such as Dell EMC , VMware , Mitsui , Infosys and Magma Venture Partners.
The acquisition of this company is linked to the development of digital solutions that Amazon is launching, expanding cloud and partner services, which form the company's fastest growing business unit.