Amazon has bought Ring, the smart doorbell maker. The acquisition looks like a good fit as Amazon seeks to expand its smart-home tech with home security and in-to-home delivery services. Fittingly enough the Ring doorbell range is a good seller on the Amazon online stores around the world and it works with Alexa, Amazon's AI assistant.
CNBC reports that with the purchase of Ring, Amazon will be able to "disrupt the home security market". As the news broke Amazon's shares didn't seem to respond much at all but it was notable that dedicated security companies such as ADT Inc felt a knock.
Both Amazon and Ring have made statements about the deal. An Amazon spokesperson was quoted as saying "Ring's home security products and services have delighted customers since day one. We're excited to work with this talented team." Meanwhile, Ring emailed a statement to CNBC, talking about how much more it could achieve by partnering with Amazon.
Before this deal materialised Amazon and Ring had already worked together. Amazon previously invested in Ring via its Alexa fund, to help scale its Alexa tech and spur adoption. In other home security moves recently, Amazon partnered with Kwikset and Yale to get Amazon Key rolled out. It has also recently bought smart camera maker Blink.
As an interesting aside, MarketWatch reports that the embryonic Ring doorbell was rejected by a panel of investors on ABC's 'Shark Tank' in 2013. That's a 'Dragon's Den' style show. To be more precise, one potential investor did make an offer but the Ring boss walked away as the investor asked for too much. Virgin's Richard Branson saw the episode and took part in a $28 million Ring funding round in 2015.