SoundHound AI (SOUN) shares gained 1.59% to $4.1550, adding $0.0650 during the trading session, as the company announced a strategic partnership with LG Electronics to introduce new commerce opportunities through smart televisions. The stock held an upward trajectory through the session despite several intraday price fluctuations.

Under the agreement, SoundHound AI will initially target approximately 20 million LG Smart TVs across the United States, with the collaboration centered on restaurants before extending into additional retail and merchant categories. The partnership is designed to bring restaurant transactions to millions of LG Smart TVs, opening a new television-based commerce channel for the company.

Expanded Commerce Reach Through LG's Television Network

The agreement gives SoundHound AI access to a substantially wider household audience through LG's television network. Participating restaurants will be able to reach consumers through another digital channel without being required to install any additional equipment inside their locations. The initial rollout will concentrate on the United States, the market where LG currently operates approximately 20 million smart televisions.

Restaurants represent the first merchant category under the partnership, while retail businesses could join at a later stage. SoundHound is already engaging restaurant brands that have expressed interest in joining the developing commerce network, and its existing customer base includes Jersey Mike's, Five Guys, and White Castle, among other restaurant operators.

The partnership also builds on the commercial channel SoundHound introduced at CES 2025, which established an approach for connecting businesses with consumers through smart devices. The LG agreement extends that concept into television-based commerce and creates another distribution opportunity for the company. The two companies aim to connect household viewing experiences with restaurant and merchant transactions, an approach that could give participating businesses additional access to customers during dining and entertainment periods.

A New Transaction Channel for LG Smart TVs

SoundHound plans to rely on its existing merchant network to support transactions carried out through LG Smart TVs. That network already handles transaction routing and secure checkout for participating businesses, which means the partnership can build on established commerce infrastructure rather than requiring the construction of an entirely separate system.

The companies also intend to connect the service with restaurant point-of-sale systems, while integration with kitchen execution systems will support existing restaurant operations. This structure allows participating businesses to keep their current technology in place while gaining access to another customer channel.

For restaurant operators, the arrangement introduces several potential commercial advantages. Businesses can engage households directly through television screens without deploying additional hardware at their locations, and direct integration with existing systems can support order processing and transaction management. National restaurant chains, local restaurant groups, and retail brands all represent potential participants, with the initial restaurant focus providing a defined starting point for expanding the service across additional merchant categories.

Broader Merchant Participation on the Roadmap

SoundHound's longer-term plans extend beyond restaurants and traditional food ordering services. The company intends to introduce additional commerce experiences across several industries, including hospitality, travel, entertainment, and banking, alongside other merchant categories. The LG partnership provides another route for bringing these services into connected household devices, and television-based commerce could connect businesses with consumers during regular viewing sessions. In this framing, the companies have positioned the living room as an additional environment for digital transactions.

SoundHound's existing merchant relationships provide a foundation for developing the expanded network. The partnership's initial implementation, however, centers on restaurant participation across the United States, and the company has not provided a specific launch date or a detailed rollout schedule in the announcement. Even so, the agreement establishes a commercial framework for reaching LG television users. Until those details arrive, the restaurant brands that formally join the network and any subsequent rollout announcements will be the practical benchmarks for how quickly the framework turns into a functioning commerce channel.

Source: Blockonomi