Zebra Technologies Corporation has entered into a definitive agreement to acquire Elo Touch Solutions, an innovator of solutions that engage customers, enhance self-service, and accelerate automation across retail, hospitality, quick service restaurants (QSR), healthcare, and industrial markets for $1.3 billion in cash.
With complementary portfolios and similar go-to-market strategies, together, Zebra and Elo will deliver a comprehensive portfolio that meets the evolving needs of their customers in close partnership with leading Independent Software Vendors (ISVs), payment solutions providers (PSPs), value-added resellers (VARs) and distributors.
Zebra’s leadership in hardware, software and services for the frontline worker will be augmented by Elo’s suite of consumer-facing kiosks, edge computing, payment and touchscreen solutions to deliver a more comprehensive frontline experience.
“This acquisition represents the next step in our journey to accelerate the connected frontline, which is a key tenet of our growth strategy,” said Bill Burns, chief executive officer, Zebra Technologies. “An increased focus on self-service and consumer-facing workflows will expand our addressable market by approximately $8 billion and create a leading portfolio of solutions that digitize and automate the frontline of business. We look forward to welcoming the Elo team to Zebra and pursuing new growth opportunities together following the closing of the acquisition.”
Customers across industries are increasingly adopting new solutions enabled by kiosks and interactive touchscreen displays. Elo offers a wide range of industry-tailored solutions which modernize point-of-sale (POS), streamline self-service and payment experiences, automate kitchen and industrial workflows, and optimize production and process management. This acquisition will strengthen Zebra’s offerings in self-service use cases and complement its recently launched kiosk solution.
Together with Elo, Zebra will be well positioned to capitalize on trends impacting retail and beyond. The combined business will empower retailers and QSRs to elevate consumer experiences within the AI-powered Modern Store. The planned addition of Elo’s portfolio will give Zebra customers and partners more choice and, over time, a more holistic approach to address their emerging use cases. The continued growth of retail media networks and the deployment of new AI-based agents on the frontline are examples of new opportunities that Zebra and Elo can pursue more successfully together.
According to Zebra’s 17th Annual Global Shopper study, 78% of shoppers said self-checkout options improve their shopping experience. In addition, leading analysts have noted that traditional POS technologies are advancing beyond store-only transactional services to enable an experience-led unified commerce strategy powered by new data streams. Zebra and Elo are well positioned to play an increasingly important role in the transformation of POS and self-checkout moving forward.
Zebra’s global reach, extensive services capabilities, and deep customer relationships will accelerate Elo’s expansion into new markets and geographies.
“Combining Zebra’s market-leading mobility, visibility, and automation solutions with our expertise in consumer-facing workflows will add significant value to our customers and partners,” said Craig Witsoe, chief executive officer, Elo. “We are excited about the opportunity to join Zebra and contribute to its growth strategy.”
