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

  • Five million fleet management systems in Europe by 2015
    April 23, 2012
    According to a new research report from the analyst firm Berg Insight, the number of active fleet management systems deployed in commercial vehicle fleets in Europe was two million in Q4-2010. Growing at a compound annual growth rate (CAGR) of 20.7 per cent, this number is expected to reach five million by 2015.
    Read More
  • US transportation 'needs political leadership'
    November 9, 2012
    Long-time industry leader John Worthington reflects on where transportation in the US is heading – and where it should be going. Interview with Jason Barnes. The US’s new transportation bill reflects much of what is wrong in the sector in general and in ITS in particular, according to John Worthington. While a decision is welcome, he says, it does little more than provide certainty of funding for anything other than day-to-day operations. Worthington, former Chairman and CEO of TransCore, is back in the ITS
    Read More
  • Fifty per cent of consumer cars to have telematics devices by 2022
    June 23, 2017
    A new report from Juniper Research has revealed that, by 2022, 50 per cent of consumer vehicles on the road will have at least one connectivity service, such as telematics, V2X (vehicle-to-everything) communications, or connected car commerce services.
    Read More
  • Cisco, NXP invest in Cohda Wireless to enable the connected car
    January 7, 2013
    In a partnership that they say will advance intelligent transportation systems (ITS) and car-to-X communications, US-headquartered IT provider Cisco and Dutch semiconductor supplier NXP Semiconductors are to invest in wireless communications specialist Cohda Wireless. The three companies will apply their collective expertise and technologies to help automotive OEMs, suppliers, enterprises and consumers to connect vehicles with ITS infrastructure. This will be spearheaded by producing the first automotive-q
    Read More

Highlighted Content