Telit’s Thales Acquisition Creates Top Western IoT Hardware Powerhouse
The move allows Telit to extend its leadership in the industrial IoT module market
Telit’s acquisition of Thales creates a cutting-edge Western IoT hardware powerhouse
This move allows Telit to extend its market leadership in industrial IoT modules
Telit and Thales plan to acquire the mobile IoT division of Thales – Telit Cinterion – bringing a new Western IoT powerhouse for IoT solutions offering a broad set of IoT products, services, and packages consisting of hardware, software, and connectivity solutions.
The move expands the portfolio of modules and gateways the new company can offer, gives the company more buying power from semiconductor companies, and provides more device management and connectivity offerings. This allows Telit to expand its leadership in the IoT industrial module segment, a focus that will be strengthened by the spin-off and separate management of the Thales Automotive module division. In addition, the new company will leverage Thales’ IoT security expertise across SIM, module, and connectivity technologies, while expanding its customer reach by integrating existing business relationships. Telit Cinterion is well positioned to take advantage of Thales’ extensive expertise in secure eSIM management and become a key player in the world of IoT hardware in the future.
East vs. West Battle for IoT Hardware Supremacy
The IoT hardware business has changed dramatically over the past five years, with Chinese vendors becoming increasingly dominant in the overall IoT module mix and benefiting from China’s massive infrastructure projects in areas such as utilities, manufacturing, smart buildings and smart cities. In 2021, China’s two largest vendors, Sunsea AIoT and Quectel, have combined to capture nearly 53% of the entire IoT module market.