Aeris to Acquire IoT Business from Ericsson
08 December 2022 - 1:45AM
Business Wire
- Aeris Communications and Ericsson are joining together to
create a leader in the fast-growing IoT industry
- Ericsson’s IoT Accelerator and Connected Vehicle Cloud
businesses, and related assets, to be transferred to Aeris
Communications. Ericsson will hold a minority stake in the new
Aeris.
- The transaction aims to create strong industry synergies,
accelerate IoT growth and further simplify IoT for enterprises and
create new opportunities for service providers
- Employees from the two Ericsson businesses will become part of
Aeris at the closing of the transaction which is expected in Q1 of
2023
Aeris Communications, a leading Internet of Things (IoT)
solutions provider based in San Jose, California, and Ericsson
(NASDAQ: ERIC) have signed an agreement for the transfer of
Ericsson’s IoT Accelerator and Connected Vehicle Cloud
businesses.
The combination of Aeris and Ericsson’s IoT platforms will
connect over 100 million IoT devices worldwide, covering 190
countries, and provide IoT connectivity, software and solutions to
thousands of enterprises. The new Aeris will be able to offer an
extensive IoT technology stack, brought to the market through a
strong ecosystem of channel partners, communications service
providers (CSPs) and our direct sales organizations.
Åsa Tamsons, Head of Business Area Technologies & New
Businesses at Ericsson, stated: "Aeris has been successful in
extending its IoT solution offering beyond connectivity and has the
right focus, assets, and capabilities to realize the full potential
of Ericsson's IoT business and its strong market presence. Despite
significant investments to address the fragmentation of the IoT
market, Ericsson has only tapped into a limited part of the value
chain, limiting the returns of such investments. The combined
business will offer an unparalleled IoT platform for enterprises
and new revenue streams for communication service providers,
ultimately benefiting Ericsson's customers. Aeris is a good home
for our IoT business."
With the cellular IoT market being a rather fragmented sector, a
consolidation of two industry leading players is expected to
accelerate the IoT market overall. IoT will be a fundamental and
growing part of the 4G and 5G market.
Marc Jones, Chairman and CEO of Aeris, commented: “Building the
best technology to support the success of our customers and driving
innovation in the IoT space have always been at the forefront for
Aeris. Our intelligent, software-defined IoT network and Ericsson’s
leading connectivity management platform will provide the
foundation to become a leading IoT technology stack in the
industry. We look forward to bringing new, transformational IoT
solutions and Ericsson’s IoT Accelerator and Connected Vehicle
Cloud products to our customers.”
Aeris Communications provides businesses with intelligent IoT
cellular connectivity, security, reliability, and support to
simplify and streamline IoT programs at scale. The company
addresses industries such as transport, automotive, energy,
healthcare among others and has helped thousands of customers to
deploy and manage their IoT programs end-to-end.
Ericsson IoT Accelerator is used by more than 9,000 enterprises
to manage more than 95 million connected devices with 20 million
eSIM connections globally. These enterprises and connections
leverage Ericsson's growing ecosystem of over 35 communication
service provider partners for global cellular connectivity.
Connected Vehicle Cloud is the most complete connected car
platform on the market today, with frontrunners in automotive IoT
using it to connect six million vehicles and counting across 180
countries.
The transaction is expected to close in the first quarter of
2023 and includes the transfer of employees from Ericsson to Aeris.
In addition, Ericsson intends to support Aeris with transition
services and will acquire a minority stake in the company.
ABOUT AERIS:
Founded in 1996, Aeris is a global IoT solutions provider with a
proven history of helping companies unlock the value of IoT. For
decades, we have powered critical projects for some of the most
complex customers of IoT services. Aeris strives to fundamentally
improve businesses by dramatically reducing costs, accelerating
time-to-market, and enabling new revenue streams. Built from the
ground up for IoT and road tested at scale, Aeris’ offering is
based on the broadest technology stack in the industry, spanning
connectivity up to vertical applications. As veterans of the
industry, we know that implementing an IoT solution can be complex,
and we pride ourselves on making it simpler. www.aeris.com
ABOUT ERICSSON: Ericsson enables communications service
providers and enterprises to capture the full value of
connectivity. The company’s portfolio spans the following business
areas: Networks, Cloud Software and Services, Enterprise Wireless
Solutions, Global Communications Platform, and Technologies and New
Businesses. It is designed to help our customers go digital,
increase efficiency and find new revenue streams. Ericsson’s
innovation investments have delivered the benefits of mobility and
mobile broadband to billions of people globally. Ericsson stock is
listed on Nasdaq Stockholm and on Nasdaq New York.
www.ericsson.com
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version on businesswire.com: https://www.businesswire.com/news/home/20221207005574/en/
Media Contact: Aeris Communications
Dawn Marks Aeris, VP Communications +1 847-224-8665
dawn.marks@aeris.net
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