, a platform solution for the connected home and business, completed its previously announced acquisition of two business units, Connect and Piper, from Icontrol Networks after announcing it had reached a settlement with Honeywell, which had sued to stop the deal.

In June 2016, SDM reported that Holdings Inc. had entered into a definitive agreement to acquire two business units, Connect and Piper, from Icontrol Networks for $140 million, and Comcast had agreed to acquire Icontrol’s Converge software platform (

Connect, based in Redwood City, Calif., provides an interactive security and home automation platform that powers several service providers’ solutions including ADT Pulse. Piper, based in Ottawa, Canada, designs, produces and sells an all-in-one video and home automation hub.

Hours after the Federal Trade Commission (FTC) waiting period for the merging of and two units of Icontrol Networks ended, however, Honeywell filed suit on February 22, 2017, against and Icontrol for an alleged violation of antitrust laws. Honeywell claimed in the suit that such a merger would impede the ability of Honeywell and other companies to transition into an open architecture, stating, “With the merger, the combined firm would foreclose Honeywell’s transition to open architecture. Instead of three open architecture alternatives and genuine competition, there would be one dominant firm exercising monopoly power over customers and stymieing any nascent competitive threat.”

Honeywell alleged in the complaint that this merger will allow to convert ADT to software, essentially shutting out any further relationship between ADT and Honeywell since Honeywell hardware is not compatible with software.

In the complaint, Honeywell also alleged: “The creation of such concentration, which would injure competition, stifle innovation, and result in higher prices to consumers, is presumptively illegal.”

In an 8-K form, stated: “ intends to defend itself vigorously in this matter.”

On March 8, 2017, announced it had reached a settlement with Honeywell and closed the acquisition of the two Icontrol business units. In an 8-K document issued that day, said, “On March 8, 2017, completed the acquisition pursuant to the terms of the asset purchase agreement. The cash consideration paid by, after the estimated working capital adjustment, was $148.5 million.” also stated in the 8-K: “On March 3, 2017, [] and Honeywell entered into an agreement (the “settlement agreement”) to settle the lawsuit, which became effective upon the closing of the acquisition. The parties to the settlement have agreed to keep the terms of the settlement agreement confidential.” made no further comments on the nature of the settlement, who initiated it, or if any changes would be made to the acquisition as a result of it.

“We are pleased to wrap up our acquisition of the Icontrol Connect and Piper business units,” said Steve Trundle, president and CEO of “The market for security-oriented connected home and connected business solutions continues to be attractive. These two business units will allow us to upsize our distribution channels and increase the scale of our research and development initiatives. With this expanded capacity, we will be better positioned to keep ourselves and our service provider partners competitive into the future. We welcome the Icontrol employees to our team.” — By Tim Scally, SDM Associate Editor