Logitech, the Swiss keyboard and webcam manufacturer, and Plantronics, the US Bluetooth and headset creator, have recently revealed acquisition plans ended in the negotiation phase. Reuters reported on negotiations between the two tech companies last Friday, talks were then confirmed on Sunday, but by Monday plans had been terminated.
According to sources close to NDTV, Logitech’s board ended negotiations over price disagreements despite Plantronics having opened its books to Logitech on the basis of an offer by Logitech that was well in excess of $3 billion.
On the negotiations, Plantronics Chief Executive Joe Burton said in a statement: “I have been and remain tremendously optimistic about the opportunity in front of us, and with our focused strategy and leadership team, I am confident that Plantronics will create significant long term value for shareholders.”
Founded in 1981, Logitech has been combating declining sales numbers by diversifying their portfolio: namely moving away from personal computing products and towards products that benefit from the cloud-computing boom (music, gaming, video conferencing, smart home products, etc.). Even though their negotiations here were unfruitful, Logitech has already acquired Blue Microphones ($117M) and Beyond Entertainment (unlisted) this calendar year.
Blue Microphones makes microphones for audio professionals, musicians, and consumers; and Beyond Entertainment is an online platform that offers the latest news from the console industry. In 2017 Logitech also acquired Astro Gaming, who designs, develops, and sells video gaming equipment, accessories, and gear.
Seeing these changes and trends towards cloud-computing in the tech marketplace has been interesting to watch, and remains something to keep an eye on.