Ready for another American-grown company to be gobbled up by big businesses in China? After early morning murmurings, LeEco today confirmed rumors that they have acquired VIZIO. The deal is confirmed to be worth $2 billion.
This is more than just an interesting deal: it’s probably LeEco’s biggest move to enter the global market than anything they’ve done to date. VIZIO commands one of the biggest and fastest growing lines of home entertainment products in North America.
VIZIO’s most recent wonder was a line of Google Cast TVs. They aren’t Android TV, but the company did ship the TVs with an Android tablet in each box to make it easier to fling content to the big screen. They also have a line of Google Cast-ready speakers. VIZIO founder, chairman and CEO William Wang commented on the deal:
“Fourteen years ago, I mortgaged my house to start VIZIO and since then, it has grown into one of the most well-known and respected CE brands in North America. As an entrepreneur, I couldn’t be more proud of what has been accomplished.
As we enter a new chapter with LeEco, I’m humbled by the hard work and dedication of VIZIO shareholders and employees. Their unwavering faith in the brand and commitment to excellence is what made this venture possible. I’m excited to see how LeEco’s global reach and resources will elevate VIZIO as we continue to bring great technology, innovation and value to our consumers.”
For LeEco, this move not only helps them in their quest to become a premiere player in the TV space, but also gives them the presence needed to expand in other areas they’ve been eyeing for some time now. LeEco will acquire all of the VIZIO hardware and software operations, technology and intellectual property with the move.
The move will help VIZIO expand its operations to more overseas territory thanks to the scale that the Chinese giant LeEco provides. They make it sound like the sort of dream team $2 billion should buy in their press release, and we’re hoping things can only get better for both companies because of it.