Foxconn Interconnect Technology (FIT), the Taiwanese company best known for producing the iPhone and a range of other consumer electronics, is to acquire Belkin, its smart home brand Wemo, along with the Linksys and Phyn businesses, for $866 million in cash.
Based in California, Belkin is a 35-year-old technology company that sells a wide range of computer and phone accessories like cases, cables docks and wireless chargers.
Linksys, which Belkin acquired in 2013, makes home routers and other networking equipment, while Wemo is one of the bigger names in the smart home market, and was founded by Belkin the same year. Wemo produces internet-connected plugs, light bulbs, security cameras and switches.
Belkin also owns Phyn, a new company that makes systems for monitoring microscopic changes in a home's water pressure. Phyn uses this data to alert the user to changes in flow which could be caused by leaks or damage to the system.
Belkin sells a wide range of technology accessories like cablesBelkin
This is an interesting move for FIT, as it is the first time the company has ventured into the consumer-facing side of the technology industry. Until now, it has stuck to the manufacturing side, producing popular devices like iPhones in vast quantities, but keeping out of the limelight.
Foxconn chief executive Sidney Lu said: "FIT is excited to acquire Belkin and its capabilities in the premium consumer products space. Integrating Belkin's best-in-class capabilities and solutions into FIT, we expect to enrich our portfolio of premium consumer products and accelerate our penetration into the smart home."
FIT's customers include Acer, Amazon, Apple, BlackBerry, Google, Huawei, Intel, Microsoft, Nintendo and Sony, among other household names from the tech industry.
Chet Pipkin, chief executive and founder of Belkin, said: "This move will accelerate our vision of delivering technology that makes the lives of people around the world better, more convenient and more fulfilling. I am thrilled to take our brand portfolio of Belkin, Linksys, Wemo and Phyn to new heights. "