Bosch Group completed its $8 billion acquisition of Johnson Controls’ residential and light commercial heating, ventilation, and air conditioning business on July 31, marking the largest acquisition in the German technology company’s 139-year history. The deal doubles Bosch’s Home Comfort division to over 25,000 employees and more than 8 billion euros in sales.
The acquisition includes Johnson Controls’ HVAC operations and the Johnson Controls-Hitachi Air Conditioning joint venture. Bosch signed the contracts approximately one year ago, with the purchase price of $8 billion (7.4 billion euros) subject to customary adjustments.
“With the largest acquisition in our company history, we are accelerating our growth, expanding our global footprint, and balancing our business by strengthening our energy and building technology — this makes Bosch more powerful and robust, in line with our corporate strategy 2030,” said Stefan Hartung, chairman of the Bosch board of management.
The transaction significantly expands Bosch’s presence in America and Asia, positioning it among the world’s largest suppliers of residential and small commercial HVAC systems. The company gains established brands including York in the USA and Hitachi in Asia, alongside existing Bosch and Buderus brands.
“The entire HVAC industry is in a state of upheaval, and the market and technologies are changing. Bosch is systematically taking advantage of its opportunities and is now moving up to the Champions League in the heating, ventilation, and air conditioning solutions business,” Hartung said.
Christian Fischer, deputy chairman responsible for strategic growth initiatives, highlighted the strategic fit. “The current acquisition perfectly complements our portfolio. We can now offer our customers the entire range of HVAC technologies — from a single source and worldwide.”
Market Growth Projections
Bosch estimates the global HVAC market will grow up to 5 percent annually until 2030. The company’s analysis shows the global heating, ventilation, and air conditioning market reached over 150 billion euros in 2024, with air conditioning systems accounting for two-thirds of this figure.
Climate change drives significant demand increases. Bosch forecasts worldwide air conditioning unit sales will reach over 200 million units annually by 2030, nearly 20 percent higher than 2024 levels. International Energy Agency calculations indicate a one-degree Celsius global temperature increase by 2050 will boost cooling demand by 25 percent.
“We want to help shape this market — and use energy-efficient solutions to ensure that people can make their everyday lives comfortable and healthy, even on increasingly hotter days, whether at home, at work, or while shopping,” said Frank Meyer, responsible for energy and building technology at Bosch.
Operational Expansion
The acquisition expands Bosch’s global manufacturing network from 17 to 33 plants and increases development sites from 14 to 26. The company expects initial integration successes by 2026, with full integration completion targeted for end-2027.
Home Comfort aims to grow significantly faster than the global HVAC market through expanded product portfolios, integrated purchasing, and joint platform development. The division includes strategic investments in component manufacturers and sales partners expected to contribute substantially to future financial results.
Regional Strategy
The newly structured division will operate through three regional organizations: Americas, Asia, and Europe/Middle East/Africa. Jan Brockmann becomes president and regional head for Europe/Middle East/Africa. David Budzinski, formerly of Johnson Controls, leads the Americas region as deputy president. Ulrich Lissmann heads Asia-Pacific operations.
Different regions demand varying technologies. The USA focuses on ducted systems for centralized heating and cooling. Asia emphasizes ductless solutions and variable refrigerant flow systems for commercial applications. Europe shows regional variation, with northern and western areas adopting heat pump electrification while Middle East and Africa markets require air conditioning and water heating solutions.