At today’s event, LeEco has officially announced the 100% acquisition of Vizio, one of top TV makers in the U.S. The deal is said to worth $2 billion and official LeEco products will be officially launched in September 2016. Vizio’s founder and Chairman, Willian Wang along with LeEco also established the Vizio’s data business, Inscape as a privately held company where LeEco owns 49% while the other 51% is owned by William Wang.
With this deal, LeEco along with Vizio becomes No.1 smart TV brand in China and No.2 in the U.S. It will also be No.1 sound bar brand in the U.S. Both the companies now have a combined revenue of $4 billion in the first half of 2016. LeEco is looking to enter the U.S market from mid-2015, but the Vizio’s acquisition will give LeEco a great push at the beginning.
The company already entered the Indian market with LeEco smartphones and is soon expected to launch the smart TV. LeEco first the made the global headlines at the CES 2016 where it announced the first Snapdragon 820 powered smartphone LeEco Le Max Pro.
Earlier: LeEco is said to make a small investment in the U.S based TV brand Vizio. Though there are no official details till date about the deal, both the companies jointly announced a media event on July 26th at Hollywood. Now we can expect at least some sort of co-ordination between these brands; it might be a stake buy or a strategic partnership to promote its content.
Vizio is a well know for its affordable TV’s, and it also sells smartphones, tablets, ultrabooks and other electronics as well. In early 2013, the company has unveiled a couple of Android-powered smartphones in selected Asian markets including China and recently it also launched the 6-inch tablet as a remote control for 4K displays. On the July 26th event, the company might officially announce its entrance into the U.S market.
LeEco already established its U.S headquarters in San Fransico and recently brought the Yahoo’s Silicon Valley office. Apart from producing Video Content, LeEco manufactures several devices like smartphones, smart TVs, and an electric car (LeSEE). With the partnership with Vizio, we expect the company to start offering video content and might also bring its Le SuperTVs to U.S.
As of now its SuperTVs are only available in China and is expected to launch in India soon. Even the company’s first electric car LeSEE was developed in partnership with another U.S based company Faraday Future. Earlier this year, the company demoed the autonomous and voice-based driving features of the LeSEE at an event in China.
Talking about the LeEco entrance in U.S, it will be the first smartphone brand to reach U.S while competing against another new smartphones brands like Meizu and Xiaomi. As of now there is no information about the availability of smartphones in the U.S. The announced event is less than two weeks away, so stay tuned for more updates.