Verizon to acquire Hughes Telematics

Verizon Communications and Hughes Telematics have announced a definitive merger agreement under which Verizon will acquire Hughes Telematics for a total of US$612 million. Verizon says the transaction will expand its capabilities in the automotive and fleet telematics marketplace and accelerate growth in key vertical segments. Hughes offers a portfolio of services through its commercial fleet, aftermarket and original equipment manufacturer (OEM) offerings as well products and services for health providers
June 5, 2012 Read time: 2 mins

1984 Verizon Communications and 2149 Hughes Telematics have announced a definitive merger agreement under which Verizon will acquire Hughes Telematics for a total of US$612 million. Verizon says the transaction will expand its capabilities in the automotive and fleet telematics marketplace and accelerate growth in key vertical segments. Hughes offers a portfolio of services through its commercial fleet, aftermarket and original equipment manufacturer (OEM) offerings as well products and services for health providers and users.

The merger is expected to close in the third quarter of 2012, and Verizon plans to retain the existing management team and operate the new unit as a subsidiary within Verizon and operated as part of its Verizon Enterprise Solutions group. The business will continue to be headquartered in Atlanta.

"We expect M2M and telematics to drive significant growth for Verizon and we're taking an important step forward to accelerate solutions that will unlock more opportunities for existing and new Hughes Telematics and Verizon customers," said John Stratton, president of Verizon Enterprise Solutions.

For more information on companies in this article

Related Content

  • Changing roles in data collection for traffic management
    January 23, 2012
    Transport for Greater Manchester's David Hytch discusses the evolving roles of the public and private sector in managing and disseminating data. Data services for traffic management were once the sole preserve of public sector organisations, they being uniquely placed and equipped for the work involved. Now, though, this is changing. There is even a presumption in some countries that the private sector will take a greater, if not actually a lead, role in the provision of information for transport management
    Read More
  • Trailer telematics a catalyst for fleet optimisation, Finds Frost & Sullivan
    July 2, 2012
    The trailer telematics market is fast developing into a major growth engine for the commercial vehicles telematics market in Europe. Immense opportunities await telematics vendors as a majority of the trailer population in Europe (as well as North America) remains underpenetrated. Within the trailer telematics market, trailer location and tracking is the most developed application. However, security concerns and the need for effective mobile asset monitoring and management are creating several new applicati
    Read More
  • Huge global OEM connected car system shipments predicted
    May 2, 2012
    OEM connected car system shipments are expected to grow from 8.22 million in 2012 to 39.5 million in 2016. While the United States and Western Europe remain the leading regions, car OEMs such as GM, Toyota, Nissan, Hyundai, and Mercedes Benz increasingly look to China as the next major expansion area for launching connected car solutions in order to maintain or enhance their competitive position in this fledgling market.
    Read More
  • Telenor Connexion in strategic deal with Ericsson
    May 21, 2012
    Having been an early pioneer in the M2M market in automotive, security and smart metering industries, Telenor Connexion developed an advanced M2M dedicated platform in 2009. This platform and managed M2M solutions were subsequently chosen by companies such as Omron, Nissan, TomTom, and Qualcomm for their embedded connectivity solutions. Telenor Connexion has announced the next step in the company's evolution - a strategic deal with Ericsson where Ericsson acquires the advanced M2M platform in order to allow
    Read More

Highlighted Content