This became known last Wednesday, December 7th. Ericsson closed the sale of its IoT division (Internet of Things) to aeris, an American technology company. Connected automotive platforms using cloud technology and Internet of Things Accelerator. They did not officially share the amounts involved in the deal.

Above IoT Acceleratormore than 9,000 companies around the world are using this initiative and are responsible for managing 22 million jobs. eSIM, according to the supplier. The automotive solution is used by six million vehicles in 180 countries. The employees and assets of the IoT department will be transferred to new owners based in San Jose, California. Regardless of the sale, which will be completed in the first quarter of next year, Ericsson plans to retain a minority stake in the company.

Reasons why Ericsson is considering selling its IoT business

Among the reasons why the decision was made, the company singled out “Significant Investment to Eliminate IoT Market Fragmentation🇧🇷 Participants managed to take advantage of only a small part of the value chain, reducing the return on investment. It is predicted that the segment Internet of Things should finish this year’s cycle around $77 million net income. Recently, in the fourth quarter of 2022, a loss of $24 million was recorded related to recently sold IoT platforms.

what is your opinion about this topic? Do you think it was a good deal for Ericsson? Do you see the IoT segment as an interesting bet given the large investment involved in this process? Share your point of view in this post and follow our social media!

5G continues to support the Internet of Things (IoT)
The potential of the current generation mobile internet continues to be explored in several areas.

Source: Teletime (Enrique Juliao)

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