Everything in the world will be made using AI technology and it is coming fast to all kind of articles, including robots.
LG knows everything about that trend and is buying a stake in Robostar for $49.67 million. (about a 20%, equivalent to 1.95 million shares) . Robotics is a South Korean robot manufacturing firm.
LG wants to have a big presence and strength in the next generation industry. The deal will take place in mid-July.
LG is planning to buy more stake by the end of this year to increase its share to a 33.4%
Established in 1999, Robostar is known for its prominent technologies in making robots, including in the production of semiconductors and cars, according to industry watchers.
The stake purchase plan is the latest in a series of moves by LG to expand its business scope in the high-tech sector, which is one of the company's major future growth engines.
In January, LG showcased three different robots at Consumer Electronics Show 2018, namely serving, porter and shopping cart robots. In March, the tech firm invested 1 billion won in a local startup, Acryl, which specializes in the development of artificial intelligence technologies, and acquired a 10 percent stake.
"As the robot business is one of our key growth pillars for the future, we have been into developing our own technologies and at the same time strengthening cooperation with firms with expertise and startups," an LG official said, stressing plans to consistently invest in the development of cutting-edge technologies.