Telit’s Thales Acquisition Creates Top Western IoT Hardware Powerhouse
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Telit’s acquisition of Thales creates a cutting-edge Western IoT hardware powerhouse
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.
The battle between East and West 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 2022, China’s two largest vendors, Sunsea AIoT and Quectel, combined to capture nearly 53% of the entire IoT module market.