Tokyo, Japan - SoftBank Group Corp. has agreed to acquire a 51.0% stake in Cubic Telecom, an Ireland-based Internet of Things (IoT) platform provider.
The acquisition, valued at approximately €947.3 million, increases Cubic Telecom's enterprise value to more than €900 million.
Why It Matters:
SoftBank's entry into Cubic Telecom represents a significant move into the global IoT market, with a particular focus on connected cars and software-defined vehicles (SDVs).
The deal aligns with industry forecasts that point to significant growth in the connected vehicle sector, with estimates suggesting that 95% of new cars sold will be connected by 2030.
The acquisition has the potential to influence the direction of digital transformation in the automotive, transportation, and agriculture sectors through the integration and development of advanced IoT and SD technologies.
The Key Points
- The agreement gives SoftBank a majority stake in Cubic Telecom, a specialist in IoT platforms for various vehicles.
- Cubic Telecom's CEO, Barry Napier, will continue in his leadership role, and the company's board of directors will be expanded to include representatives from SoftBank.
- Today, Cubic Telecom's platform is recognized for transitioning from hardware-centric to software-defined solutions and powers more than 17 million vehicles in over 190 countries.
What They Say:
SoftBank officials have emphasized the strategic importance of this acquisition, noting that it aligns with their goals in the IoT and connected vehicle space.
Barry Napier, CEO of Cubic Telecom, has reiterated the company's commitment to enhancing its platform and services in the wake of this new partnership.
