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February 08, 2011

Telit Wireless Solutions to Purchase Motorola's M2M Unit for $26 Million


Sequoia Technology, a provider of wireless and GPS chips and sub systems, announced that its Wireless partner Telit Wireless Solutions is under the process to purchase Motorola Solutions’ M2M (machine-to-machine) module line.

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For those unaware, M2M comprises of hardware, software, and processes that enable communication between different machines as well as between machines and people. According to a press release, Telit Wireless Solutions plans to purchase Motorola’s (News - Alert) M2M unit for $26 million and this transaction is subject to customary closing conditions and regulatory approvals.

Officials with Sequoia said that it is not yet confirmed how the Motorola module line will integrate into Telit’s portfolio of products that already exist. Telit Wireless (News - Alert) Solutions develops, manufactures and markets M2M modules that enable machines, devices and vehicles to communicate via wireless networks.

According to the release, Sequoia Technology is looking forward to supporting new customers as Telit purchases Motorola Solutions M2M unit.

According to Motorola, its M2M Wireless Modules provide innovative technology and rugged hardware in a single form factor supporting all technologies. Some of the solutions offered by M2M include HSPA modules, CDMA 1X wireless module with built-in multimode GPS, GPS modules equipped with SiRF technology, and more.

In the release, Oozi Cats, CEO for Telit, said, "I am convinced that this acquisition is a strategic milestone for our company. It will allow us to pursue the further expansion into the growing M2M market. We are confident that the combination will generate cost synergies and new opportunities for cross selling of products and increased customer account development. Moreover our company as well as our customers will profit from enhanced research and development capabilities, a broadening of Telit's M2M product offering and the enhancement of M2M modules' products through Telit's commitment to long-term product development and support." 

Jayashree Adkoli is a contributing editor for TMCnet. To read more of Jayashree's articles, please visit her columnist page.

Edited by Jennifer Russell
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