Bosch Building Technologies Realigning to Focus on Systems Integration Business

Bosch plans to sell most of its product-related businesses as it looks to make a transition to integration-focused initiatives.

Bosch Building Technologies Realigning to Focus on Systems Integration Business

Photo courtesy of Bosch Building Technologies

STUTTGART and GRASBRUNN, Germany – Bosch is realigning its building technologies division to “focus on its regional integrator business, with solutions and services for building security, energy efficiency and building automation,” according to a company announcement.

The company plans to sell most of the building technologies division’s product business, including the video, access and intrusion and communication business units and affects about 4,300 employees at more than 90 locations worldwide, the announcement says.

The decision follows Bosch Building Technologies’ announcement of its plans to acquire systems integrator Paladin Technologies in July, a rare consolidation in the security industry of an integrator with a manufacturer.

Bosch is “looking for a buyer who will take on all three business units together with their associates and locations,” the company announcement says. Bosch is not planning to sell its fire alarm systems business, according to the announcement and will instead merge that with its integrator business “because of its importance for systems integration.”

“We want to become one of the global leaders for systems integration in building technology and to seize the favorable opportunities for growth in this market,” says Christian Fischer, deputy chairman of Bosch’s board of management, in the company announcement. To achieve this, we need to consolidate. This is why we will in the future be focusing on systems integration as our core business.

“We are confident we will be able to find a buyer who will take over all three business units and who will further strengthen the business and give it a secure future,” he says in the announcement.

Why Bosch Building Technologies Is Selling Some Divisions

Following the realignment, the Bosch Building Technologies division will employ about 7,600 people and operate at 40 locations in eight countries. The division “intends to benefit in the future from digitalization and a growing customer demand for integrated, intelligent and cross-domain solutions in the areas of building security, energy efficiency, and building automation,” the announcement says.

“The product business is excellently positioned for a promising future under a new owner: innovative products, highly skilled associates, and a market environment with attractive opportunities for growth,” says Thomas Quante, president of Bosch Building Technologies, in the company announcement.

This article originally appeared in CS sister publication, Security Sales & Integration.

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