LG Electronics has committed USD 10 million as a key limited partner in the newly launched USD 130 million Alpha Intelligence Fund (AIF) by SBVA, aiming to expand its investments in AI and deep-tech startups. SBVA, originally established as SoftBank Ventures Asia under the SoftBank Group before becoming independent, will curate a portfolio for AIF by selecting high-growth-potential startups in AI, deep tech, and robotics. They will utilize their global networks and resources to foster the growth and success of these startups.
For over 20 years, SBVA has been investing in global startups, enhancing its expertise in information and communication technology (ICT), and strengthening its international network. In participating in the SBVA fund, LG aims to share information on rapidly changing innovative technology trends and reflect these global market changes in its management strategies. Eugene Yoo, vice president and leader of the Open Innovation Task at LG, stated, “By participating in the AIF, we aim to secure AI capabilities through active open innovation activities and strengthen our position within the AI value chain. We plan to discover and collaborate with capable startups to explore future business opportunities”.
With this investment, LG aims to deepen its collaboration with innovative startups and advance its efforts to secure future technologies, ultimately striving for qualitative growth. The company intends to enhance its networking with global firms and startups, identify strategic investment opportunities, and bolster its technological capabilities for future business ventures.
LG intends to accelerate its transformation into a Smart Life Solutions company by securing innovative technologies for its key growth engines, including platform-based service businesses, B2B businesses, and other new ventures. The company plans to continue efforts to secure future core technologies and expand its business areas beyond the home to include business spaces, mobility, and more.
In pursuit of this objective, LG recently acquired an 80% stake in Athom, a smart home platform company based in Enschede, Netherlands, in July and has committed to purchasing the remaining 20% within the next three years. Earlier, in March, LG invested USD 60 million in Bear Robotics, an AI-driven autonomous service robot startup located in Redwood City, Silicon Valley, USA, through a new stock acquisition agreement.