Amazon has announced on Monday about acquisition of Eero, a maker of mesh-networking Wi-Fi routers.
Amazon did not disclose the financial terms of the acquisition, but said that acquisition will allow the company to provide better connectivity of smart home devices.
In order to overcome the issues of traditional routers like coverage and dead zone, Eeor started a new wave of smart mesh Wi-Fi networking system that setups multiple access points to provide strong Wi-Fi signals which covers a whole house or apartment. Eero not only made it easy to set up its system but made it controllable with an easy to use smartphone app.
With a less number of firms to provide mesh networking systems, the competition in this business segment is very nominal and Google Wi-Fi and Netgear are the other biggest players in this business and rivals to Eero.
In connected homes, Amazon faces biggest competition from Google for its Google Home and Nest products and in a move to stay ahead of Google it may be one possible reason which led the Amazon to acquire the Eero.
Apart from these major players, Linksys, a subsidiary of Belkin, and Samsung also are the companies involved in making such devices.
Amazon also not said much about its future plans for Eero after acquisition, but Eero might possibly be operating independently with the existing team under Eero brand as was the case when last year Amazon bought smart doorbell and camera maker Ring, which is still operating with that name, but now offering a home security system and in CES 2019, it also launched a range of products which work with that system.
But for consumers the deal came to be raising their concerns over privacy, as many of privacy-conscious users of Eero had not much love for Amazon on the privacy front and they chose the Eero only for not being attached to any of the big tech giants.