ABB's Bold Gambit: Robotics Division to Break Free in $2.3 Billion Spinoff

April 17, 2025

Global technology leader ABB announced plans to spin off its robotics division as an independent public company, with shareholders set to vote on the proposal at the 2026 annual meeting. Despite generating $2.3 billion in revenue (7% of ABB's total) with a 12.1% profit margin, ABB's leadership determined the robotics business has fundamentally different market dynamics and growth trajectories from its core electrification and automation operations. The spinoff, distributing shares as in-kind dividends to existing shareholders, will enable the robotics unit to pursue specialized opportunities in AI-driven automation while allowing ABB to refocus on its industrial electrification businesses. This strategic realignment continues ABB's transformation since its 2018 power grid divestiture.

robotic, robots, automation