Acquisition of Cloud Computing Platform

Samsung Electronics has acquired the U.S.-based cloud computing firm Joyent.
Samsung Electronics has acquired the U.S.-based cloud computing firm Joyent.

 

Samsung Electronics announced on June 15 (local time) that it has acquired the U.S.-based cloud computing firm Joyent. The latest movement shows its intention to secure its own technological competence in order to meet growing demands of cloud services including the Internet of Things (IoT) and artificial intelligence (AI) as well as Samsung Pay.

Joyent is a cloud service provider which has competence in cloud infrastructure operation and technology, such as storage and internet server. The cloud technology is increasingly important as Samsung Electronics seeks to provide its new services, including Samsung Pay, safely and stably.

The price of the deal was not officially disclosed but it is expected to reach billions of dollars considering the fact that Joyent posts US$100 million to 200 million (117.8 billion to 235.6 billion won) in annual sales and the acquisition price of LoopPay is about US$250 million (294.5 billion won).

With the takeover of Joyent, Samsung Electronics is now able to offer its next-generation services like Samsung Pay, S Health (health care) and Knox (mobile security solution) based on the sound cloud computing platform.

Once the acquisition is completed, Joyent will be run as an independent subsidiary of Samsung Electronics America. Scott Hammond, CEO of Joyent, said, “We hope to grow further in the cloud and software market together with Samsung.”

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