Motorola Solutions announced on Thursday it is acquiring Avigilon in an all-cash deal valued at around $1 billion, an overall price that is inclusive of debt. With Avigilon being a company that specialises in security and video surveillance solutions (hardware and software), not only does the acquisition fit well with Motorola Solutions' existing portfolio but it also expands the company's reach with new products aimed at sectors of the market it had not previously serviced. Speaking on the deal, Avigilon's founder, Alexander Fernandes, explained this is a good move for Avigilon due to the two companies sharing the same "vision and strategy."
Motorola Solutions, not to be confused with Lenovo's Motorola Mobility, is a company that focuses more on hardware and software designed with public safety in mind. As well as for use by government agencies, including, but not limited to, law enforcement. For example, mid-way through last year Motorola Solutions announced it was partnering with AT&T to help with the deployment of the First Responder Network Authority (FirstNet) network through the provision of apps, services, and software. As a result of this acquisition, Motorola Solutions will look to bolster its offerings to the public and government sectors through the addition of video security products and software. Motorola Solutions' Chairman and CEO, highlighted the importance of this purchase from its point of view by explaining how video not only plays "a powerful role in creating safer cities and thriving businesses" but can also function as a proactive protection measure through the use of video analytics.
Arguably, it is likely to be this latter point, video analytics, which interests Motorola Solutions the most with this purchase, as Avigilon is a company that has spent a good amount of time and resources building out its smarter video analytics by drawing on the use of artificial intelligence (AI) and pattern-based algorithms. Something which Motorola Solutions will look to take advantage of by offering its customers a richer and fuller end-to-end security-focused option. Subject to the usual conditions and approvals, Motorola Solutions expects the acquisition to be completed within the next six months – by the end of Q2, 2018.