Johnson & Johnson (NYSE: JNJ) announced it will acquire Auris Health, Inc., a privately held developer of robotic technologies. J&J will pay $3.5 billion upfront and $2.35 billion in milestones under the terms of the agreement. This is J&J’s first acquisition in the medical device sector since 2016, when it bought Abbott Medical Optics from Abbott (NYSE: ABT).

Auris Health’s technology focuses on lung cancer, with an FDA-cleared platform currently used in bronchoscopic diagnostic and therapeutic procedures. This acquisition will accelerate J&J’s entry into robotics with potential to expand into other interventional applications.

Robotic technology deals are rare in the medical device market, but it is not the first we’ve seen. In September 2018, Medtronic plc (NYSE: MDT) acquired Mazor Robotics Ltd. (NASDAQ: MZOR), which develops robotics for use in spinal surgery, for $1.34 billion.

J&J’s acquisition of Auris Health is expected to close by the end of the second quarter of 2019. On a trailing 12-month basis, JNJ generated revenue of $81.58 billion, EBITDA of $28.21 billion and net income of $15.3 billion.