Midea Group Co., China’s electronic and energy company, is planning on buying out a german robot maker, Kuka AG, for more than $4.4 billion.
According to Bloomberg, China’s Midea Group Co. holds nearly 86% of the German company’s shares after increasing their shares 72% on July 15.
“From Midea’s point of view, the more the better. If Midea can get total control is would be greatly beneficial for their plans to expand Kuka’s business in China,” said Juliette Liu, a Yuanta Securities Co. analyst.
German officials and politicians have voiced their unhappiness with China’s buyout. Many German workers previously employed by Kuka were promised protection from their jobs, but only through 2013. Now, after this new deal, many employees might seek vendor management services so they can remain in the workforce without relocating to China.
“Today we have reached an important milestone in the expansion of our partnership with Kuka,” said Paul Fang, executive officer and chairman of Midea. “The investor agreement between Kuka and Midea sets out the future cooperation in detail. We want to help Kuka to grow and expand the business, especially in China.”
After this recent buyout, China is now projecting to be in the top 10 for automation industries by 2020. China wants to modernize its companies with robotics partly because of the changing times, and partly because of the increasing wages and waste shortages.
Reuters reports that despite China being the world’s second-largest economy, they still have far lower robot penetration than other major economies.
No one can guarantee what the future will hold, and despite many people being skeptical of all these innovations because of the thought that they will be losing work to these automated robots, there is actually going to be an increase in available jobs thanks to these AI systems.
The robotics industry will actually lead to the need of skilled workers to handle all this technology. There are experienced vendor management services that can get you in contact with supply chain recruiters in need of assistance, robotic system developers, jobs as a programmer, designer, engineer, welder and so much more.
If you’re looking for a job now or are planning on doing so in the near future, get in touch with vendor management services.
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