Simpler M2M connectivity promised as Sierra Wireless buys Swedish company

Together they will manage machine-to-machine devices and connections from one user interface

Sierra Wireless has acquired Swedish company Wireless Maingate to build a more complete machine-to-machine communications platform and better connect cars, industrial devices, smart meters and other sensors.

Together, the two companies will develop a platform that offers connectivity and device management from one user interface. Sierra currently offers a cloud-based application development platform and Maingate supplies wireless services in Europe.

The M2M, or Internet of things, sector continues to mature with operators and vendors working to offer more complete communications platforms, and Sierra is no different. The company is best known for its modems, but has also developed a device management tool and a platform for easing the development of connected M2M applications.

With the acquisition of privately owned Maingate, Sierra is getting a company that has focused on the connectivity part of the M2M puzzle. It has developed customized connectivity services for smart grid and metering applications, for example. To go along with that, Maingate has also created a platform for managing the connections, Sierra said.

Maingate provides its managed M2M connectivity to more than 500 customers based mainly in the Nordic region. Its communications platform connects about 500,000 devices, according to Sierra. The devices include connected smartmeters, point-of-sale terminals and home alarms.

Sierra is paying US$90 million in cash for Maingate, and the transaction is expected to close in February.

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Tags business issuesSierra WirelessInternet of ThingsinternetMergers and acquisitionsWireless Maingate

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Mikael Ricknäs

IDG News Service
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