Smart home startup Iotas was acquired by home security giant ADT Inc. (NYSE: ADT).
Terms of the deal were not disclosed but Iotas’ leadership and team are joining the new owner and the business will continue to operate as a separate product offering, said John Butrim, senior director B2B2C (business to business to consumer) at ADT.
Iotas was founded in 2014 by Portland technologist Sce Pike. The company built a platform that allows renters to have the same smart home experience of homeowners, who have more leeway to install smart devices and other smart infrastructure.
“Together, we are going to revolutionize what it means to live in a smart property. We firmly believe that your smart home or apartment should do more than just control a thermostat or watch for leaks — it should help protect and connect what matters most,” Pike said in a written statement.
Iotas works with developers and building owners to install the devices and infrastructure needed to allow people to control different aspects of their units as well as remote entry and monitoring. Units are controlled through the Iotas app.
As a result of the deal ADT will integrate its security features into Iotas’ platform such as a mobile SOS button. Other integrations will follow such as voice activation and tracking. Iotas has a team of roughly 40.
Iotas has raised about $17 million from investors including Telus Ventures, Intel Capital, Oregon Venture Fund and Rogue Venture Partners.
“There are many reasons we decided to join forces with Iotas, but two stand out,” said Butrim, who said ADT did extensive market research looking at acquisition targets. “The first is the talent as Sce and the team are innovative, creative and a great fit with ADT’s culture. Second, the Iotas platform is stable, scalable, fits the current needs of multifamily customers and is primed for innovation.”
Both Pike and Butrim said the deal will help scale Iotas’ technology based on the resources available from ADT. Plus, the Iotas team has the experience to help ADT grow its multifamily business.
“By combining IOTAS’ innovative vision with ADT’s trusted brand and operational know-how, we are poised to become the industry leader in the fast-growing, heavily-fragmented multifamily space, “ Pike said. “As we enter economically uncertain times, the real estate industry is in need of a reliable, adaptable partner. I am confident we are that partner.”
