U.S.-based Asurion Buys Israeli Startup Soluto for $130 Million

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Asurion Corp., a U.S. provider of technical support to the wireless phone industry, has snapped up Israeli startup Soluto for $130 million.

Soluto is a cloud-based service that enables remote support for personal computers and mobile devices. In 2010, the company won the TechCrunch blog's Disrupt competition.

Soluto will now operate as Asurion's research and development center. The Israeli company has 40 employees and is now expected to hire more.

They contacted us about six months ago about a partnership, Soluto CEO Tomer Dvir told TheMarker on Wednesday. We discovered that they share our vision, and they have 250 million paying users.

Soluto was founded in 2008 by Dvir and Ishay Green, but Green left last year to found the startup 3pix.

When we founded the company in 2008, the first iPhone had just come out, said Dvir. The arena in which we're active is very different from the one when the company was founded – today everyone has a smartphone and maybe even a tablet. In fact, yesterday was our strongest day in terms of sales.

Dvir says the acquisition by Asurion will help it become a major player in the industry. From our perspective it will let us continue doing what we've been doing but much bigger, Dvir said. "Everything will become more interesting.

Soluto had hitherto raised $20 million from investors, including venture capital funds Giza Venture Capital, Proxima Ventures, Bessemer Venture Partners, Index Ventures, TechCrunch founder Michael Arrington's CruchnFund, Google Chairman Eric Schmidt's Innovation Endeavors and Initial Capital.

Kevin Taweel, the founder and chairman of Asurion, arrived in Israel Tuesday to sign the deal.

Soluto provides remote support for mobile gadgets. Credit: Dreamstime

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