ZKTeco today announced a landmark move in the smart outdoor technology sector, acquiring a 55% stake in Longzhiyuan Technology (Longzy) for a cool RMB 416 million. The deal signals ZKTeco’s bold ambition to dominate the smart outdoor market, adding Longzy’s expertise in wildlife monitoring, security solutions, and outdoor adventure tech to its already impressive portfolio.
Longzy has carved out a niche as a key innovator in the smart outdoor space, specializing in cutting-edge audio-visual and optical equipment. The company excels in high-growth areas like hunting tracking and golf rangefinding, enhancing outdoor experiences with state-of-the-art technology. Boasting comprehensive in-house capabilities, from ID design to software and hardware development and intelligent manufacturing, Longzy provides top-tier ODM services to numerous outdoor brands, setting itself apart in the competitive North American market.
But the integration of Longzy into ZKTeco’s ecosystem is more than just a business deal, it’s a strategic alliance with powerful synergy across technology, market reach, and supply chain collaboration. The ultimate goal? To create a self-sustaining ecosystem within the smart outdoor industry.
A cornerstone of this partnership is ZKTeco’s groundbreaking multimodal BioCV (Computer Vision and Biometrics) and AI cognitive spatial computing technology. This cutting-edge tech promises to supercharge Longzy’s existing offerings, paving the way for smarter, more efficient outdoor solutions.
Strategic Product and Technology Alignment
ZKTeco’s “NGTeco” brand seamlessly aligns with Longzy’s core products, including outdoor tracking cameras, rangefinders, and night vision devices. The collaboration enables ZKTeco to extend its reach from smart indoor spaces to the great outdoors. Longzy’s prowess in industrial-grade outdoor hardware, particularly in rapid image capture, low power consumption, and image processing, will integrate smoothly with ZKTeco’s AI algorithms and cloud capabilities. The result will be a robust solution combining hardware, software, and AI to redefine outdoor experiences.
Global Market Expansion
ZKTeco’s extensive global presence will be instrumental in supporting Longzy’s business expansion. With operations spanning 34 countries and regions, and a sales network covering over 100 markets, ZKTeco will spearhead Longzy’s entry into the lucrative European and Asian markets. This collaboration will unlock the potential for outdoor cameras to be used beyond hunting and golf in diverse areas such as forest fire prevention, yard security, and agricultural monitoring, tapping into substantial market opportunities.
Supply Chain Synergies
Both companies boast independent manufacturing capabilities across multiple locations. By optimizing production layouts and consolidating supply chain resources, the partnership will boost operational efficiency, slash costs, and improve resilience in a complex geopolitical landscape, ensuring stable global operations.
Leadership Speaks
“This acquisition embodies ZKTeco’s commitment to fostering local innovation while pursuing global growth,” said Mr. John Che, CEO of ZKTeco. “Longzy’s deep expertise in the smart outdoor domain complements our technological advancements, allowing us to collaboratively innovate and elevate the smart living experience for users worldwide.”
Looking Ahead
ZKTeco is poised to accelerate the integration with Longzy, emphasizing seamless collaboration in technology development, market expansion, supply chain management, and service networks. The ultimate aim is to achieve rapid iterations and global market deployment of smart outdoor products, setting a new industry benchmark.