LG has announced a significant investment in data and measurement firm Alphonso.
Pledging nearly US$80 million, the South Korean TV maker will become the largest investor in Alphonso with a controlling stake of more than 50%.
As data measurement increasingly becomes central to the business models of TV manufacturers, LG said that it plans to utilise Alphonso’s software and services within its range of home entertainment products. This includes Alphonso’s data analytics, media planning and activation, and video AI capabilities. The tech will be used to power content recommendations and LG’s streaming service LG Channels.
The investment is a significant step up from Alphonso’s last round of funding in 2017 when it raised US$5.6 million in Series A financing led by Manifest Investment Partners.
LG has confirmed that Alphonso will continue to operate as an independent business under its current brand and that it will remain in its Silicon Valley base.
Park Hyoung-sei, president of the LG Home Entertainment Company, said: “Our investment in Alphonso is a key component of our digital transformation strategy focusing on AI, big data and cloud to fundamentally change how consumers interact with their devices.With Alphonso’s TV data analysis capabilities, LG will be able to better fulfill consumers’ needs by providing even more customized services and content to consumers. We are proud to welcome Alphonso to the LG family.”
Ashish Chordia, founder and CEO of Alphonso, said: “LG and Alphonso have a shared vision for advancing the smart TV ecosystem through innovative software and services oriented toward modern new consumer experiences on one end, and highly flexible, lucrative advertising, planning, and measurement offerings for brands, agencies, and broadcasters on the other.
“Becoming part of LG Electronics gives Alphonso the backing of one of the world’s leaders in home entertainment products, with access to a massive global inventory of connected TV screens. We can now maximize our mutual impact on the TV marketplace as we bring our products together and deliver immense value for the ecosystem.”
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20 June 2021 @ 13:38:00 UTC