Amazon backs Paris climate accord
While Amazon.com’s (AMZN) backing of Ecobee seems to fit into its war with Alphabet’s (GOOGL) Google for revenues in the home automation market, environmental consciousness could also be part of the play.
Last year, Amazon was one of the American technology giants that stood up against President Donald Trump’s decision to withdraw the US from the Paris climate accord, which is an agreement among nearly 200 countries to curb rising global temperatures. Amazon joined Apple, Google, Microsoft (MSFT), Facebook (FB), and Adobe (ADBE) in backing the climate accord, despite the withdrawal of the US government.
Running operations on renewable power
Amazon is also among the tech giants shifting their operations to run on renewable energy as part of slowing global warming by reducing carbon emissions. Creating and deploying energy-efficient products and systems are also some of the steps environmentally conscious corporations are taking to conserve the environment.
Ecobee, the Canada-based tech startup that Amazon recently helped raise about $62 million in new capital, says that one of its missions is to build products that conserve energy. Perhaps backing Ecobee could help Amazon toward its goal of reducing its carbon footprint.
Ecobee to kill two birds with one stone?
But Amazon could still use Ecobee kill two birds with one stone. In addition to helping Amazon keep a check on its carbon emissions, Ecobee develops the kind of products and technologies that Amazon could use to attract more smart home spending and drive growth. Notably, Amazon’s revenues rose 38% year-over-year to $60.5 billion in 4Q17.