Dive Brief:
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Amazon is acquiring eero, a company that makes mesh-based Wi-Fi systems that allow consumers to extend comprehensive network coverage to every room in their homes, according to an Amazon press release.
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Eero leverages an app-based method of setting up Wi-Fi access points in different rooms of a home, coordinating them as a single system to eliminate coverage dead zones while ensuring connected devices get necessary bandwidth. The eero gear also communicates with the cloud to manage network policies like network sharing and parental controls, and to initiate automatic updates, repairs and network improvements.
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Previously, Amazon worked with homebuilder TRI Pointe Group to offer smart home packages to new home buyers that included eero's system, among other technology. Eero equipment is also available for sale through Amazon's website.
Dive Insight:
Amazon's various endeavors in the smart home market are becoming almost too numerous to track. It has its Echo family of devices and Alexa virtual assistant leading the way, but it also has other services, such as Key by Amazon, and smart home-focused partnerships with the likes of Schlage, ADT and LG, as well as with home builders. It also launched a Smart Home Services page.
What it hasn't done too much of is acquire its way into the smart home market, with the notable exception of its Ring acquisition about a year ago. It could be that Amazon is only interested in acquiring the smart home technology companies that it views as the cream of the crop and that play an extremely important role in enabling the smart home.
It's not clear yet how Amazon plans to leverage its newly-acquired technology, but eero's system makes sure that connectivity, in the form of Wi-Fi signal coverage, is everywhere. It's not the only company in the mesh Wi-Fi space, as several firms, such as Ubiquiti, Netgear and Linksys offer similar routers. Google also has a system, which consumers can buy on Amazon.
In any case, smart home-related purchases don't appear to hint at an acquisition binge in this area for Amazon, at least not yet.
