Founded in 1983, Belkin International is a renowned world leader in manufacturing accessories and gadgets that enhance consumers’ quality of living. The brand offers various consumer gadgets and enterprise contexts, from power solutions to home automation.
Originating from Southern California, the company produces devices that support business and home technology across over 50 countries worldwide. To further widen its global reach, Belkin International joined Foxconn Interconnect Technology (FIT) in 2018. Today, it continues its commitment to bettering lives through technology and sustainable materials.
Back to the Beginning: Belkin’s Origin Story
Steve Bellow and Chet Pipkin co-founded Belkin Components in the Pipkin’s garage in Hawthorne, California, back in 1983. As their brainchild, “Belkin” came from its founders’ combined names. Their early offerings include cables, LAN hardware, and surge protectors. With the first year’s sales reaching an impressive record of $178,000, the brand was on its way to success.
By 1996, the company had extended to house 280 workers and generate over 3,000 products. It also relocated to more extensive facilities in Compton, California, and established sales offices in Georgia, Atlanta, and the United Kingdom. Belkin enjoyed steady growth, with its annual sales eventually increasing by 70% the following year to over $90 million.
Humble Beginnings: What Propelled Belkins to Success
Belkin veered away from the typical venture capital (VC) practices that fueled unusual growth and rapid expansions common among businesses in Silicon Valley. This decision enabled the brand to avoid unsustainable valuations and sabotages that often plague other groups within the region. It favored gradual and stable evolution. This balance became its key to global reach and progress.
Pipkin resisted taking on any outside finance for the company until 2002. Summit Partners, a private equity firm, purchased a minority investment in Belkin. This stake was reclaimed by Pipkin before FIT bought the organization in 2018. As he was the only significant shareholder during the sale, he stands out among entrepreneurs who gave large portions of their businesses to VCs.
One of Belkin’s most significant revenue sources is the sale of cables, adapters, chargers, and other iPhone accessories. While Apple’s decision to remove USB ports and headphone jacks from its Macs and iPhones has helped spur the proliferation of dongles, Pipkin thinks the institution’s future resides in the “internet of things” or IoT.
Belkin Fake Product Review Controversy
In 2009, Belkin struggled through a stumbling block with its fake product review controversy. The brand allegedly paid users to post agreeable reviews about its products through one of its employees. “Mike Baynard” hired commenters through a site called Mechanical Turk. Arlen Parsa posted this issue on his political blog, The Daily Background, and garnered the attention of many.
Then Belkin President, Mark Reynoso, issued an apology regarding the matter. He highlighted the company’s corporate ethics and integrity. He then admitted that an employee made the mistake, but insisted their brand has nothing to do with it. At the end of his letter, he shared that they removed all the paid good reviews and promised that the incident won’t be repeated.
The Launch of WeMo and Phyn: Belkin’s Trademark
Belkin introduced its WeMo line of smart plugs and light switches in 2012. These devices may be operated using a smartphone or a virtual assistant like Apple’s Siri or Amazon’s Alexa. Additionally, it launched a water monitoring device known as Phyn, which notifies household owners of usage and leaks. In the fiscal year ending in September, these segments are to contribute to a $1 billion increase in the organization’s total sales.
Founder Pipkin anticipated the significant increase in the number of devices, sensors, and peripherals needed to connect to the internet in the coming years. Thus, he decided the business needed a partner with experience producing hardware on a large scale.
Belkin purchased Linksys in 2013 in preparation for this demand. After the transaction, Belkin International was created to house the two brands.
Reaching New Heights: Foxconn’s Belkin Acquisition
By September 2018, Belkin International, Inc. was presented with the opportunity to merge with Foxconn Interconnect Technology (FIT), a Hon Hai Precision Industry Co., Ltd division, for $866 million, and they accepted it without questions.
Pipkin joined the FIT management group, leading Belkin as CEO. At the time of the acquisition, the company’s headquarter was in Playa Vista, California. It was also operating in more than 50 countries and with over 1,400 workers.
The agreement’s goals were as follows:
- To further expand FIT’s influence over the upscale accessories and smart home market by leveraging Belkin’s capabilities and consumer products channel.
- To diversify Belkin’s brands and product portfolio.
- To fund research, development, and engineering to increase the two group’s footprint in the US and other important regions worldwide.
Overcoming Barriers and Challenges: The 2019 Wemo Case
Cementing its place in the home electronics market, Belkin released Wemo — a line of innovative products that let users control home systems such as power, electronics, water, and WiFi through their smart gadgets. This feat was made possible through the brand’s IoT architecture.
More than four million Wemo devices were sold in 2019. However, with its outdated IoT system, Belkin had trouble managing millions of devices and the overwhelming data that came with it.
Before releasing new Wemo products, the company researched several potential choices for a new IoT architecture in advance. It conducted thorough tests comparing different systems that would revamp its IoT.
Amazon Web Services (AWS) supporting its IoT systems became Belkin’s solution. It’s a cloud service that connects devices with applications and other tools. Along with an open-source, real-time system called FreeRTOS, the brand successfully handled its issues and repaired its processes. This new update even offered a significant increase to its scalability.
The AWT IoT core and FreeRTOS reduced the company’s development time, decreased its costs on Traversal Using Relay around NAT (TURN) servers, and let the business allot more resources to focus on customers’ needs. These advantages proved critical in Belkin’s triumph in the following periods.
Belkin vs. The Pandemic
During the height of the coronavirus pandemic, Belkin International attempted to produce low-cost ventilators in Providence, Rhode Island. In contrast to more feature-rich devices that cost at least $30,000, these machines are less than $200. However, they’re only for less severe COVID cases.
The FlexVent was pitched and designed by Belkin in coordination with the University of Illinois at Urbana-Champaign’s Grainger College of Engineering. Although the Food and Drug Administration has not yet reviewed or approved an Emergency Use Authorization application, the device is now under production.
The FlexVent was created and intended to be used as a disposable emergency ventilator that can provide constant-flow, pressure-cycled ventilation for patients suffering respiratory distress.
In an interview with USA Today, Pipkin recognized the pandemic as “one of the most urgent humanitarian crises we have experienced in our lifetimes.” He felt that it’s everyone’s obligation, especially their organization, to show care and compassion for those in need by providing accessible services such as ventilators.
Moving Forward and Beyond: Belkin’s Current Achievements and Trajectory
The company has been powering through the ever-present challenges and competition in the technology industry and marketplace. Through its competent workforce and consistent innovations, Belkin has created a reputable name for itself and remains relevant today.
Advancements in Household Dining and Audio
The new Wemo Smart Dimmer with Thread enables customers to dim their lights from anywhere using the Home app, Wemo Stage, or by calling out to Siri. This latest addition is approved and made with the newest technologies to provide a faster and more dependable connection.
For even greater flexibility, users can configure routines in the Home app. They can also turn on lights when motion is detected by connecting the Smart Dimmer to other HomeKit gadgets.
Meanwhile, the SOUNDFORMTM True Wireless Earbuds are the newest addition to Belkin’s lineup of audio devices in the UAE. With deep sound and a secure in-ear fit, the SOUNDFORM True Wireless Earbuds offer the convenience of proper wireless music connectivity.
The Company Loved by Customers and Employees Alike
Aside from delivering world-class products and humanitarian projects, Belkin was also recognized for its commitment to taking care of its employees. The Los Angeles Business Journal and Workforce Research Group hailed Belkin International as among the Best Places to Work in 2022 through its 16th annual awards-giving body. This event honored the top 100 local employers based in Los Angeles.
Belkin’s Continued and Wider Partnerships
Aside from collaborating with Apple, Belkin knew it needed to broaden its partnerships further. Recently, the group partnered with Wi-Charge, an industry leader in wireless, long-range power solutions. The revolutionary Wi-Charge technology has already been implemented in many commercial settings, helping to do away with the inconvenience of wires and batteries. The agreement with Belkin is a step up in Wi-Change’s dedication to its consumer market, including smart homes.
