Vodafone-controlled Vodacom is eyeing acquisitions in the Internet of Things (IoT) space.
The company valued at more than R211 billion on the JSE did not give any details on how big the size of the deals could be.
“Vodacom will continue to seek strategic acquisition opportunities to drive ongoing investment in the IoT sector and to become the digitalisation partner of choice for enterprise clients and customers,” Vodacom Group CEO Shameel Joosub, said on Tuesday.
The company on Monday announced that it has reached an agreement to acquire a majority stake in IoT.nxt in a move that will significantly accelerate its IoT strategy and transform its dedicated IoT business unit.
Vodacom has identified IoT as a key strategic growth area for the group.
The IoT market is expected to reach R46 billion by 2026.
This latest acquisition will enable Vodacom to operate across the full IoT value chain and develop best-in-class solutions for clients across several industry verticals, the company said.
IoT.nxt develops world-class technology and is an industry-leading end-to-end IoT solutions provider with operations in the USA, Europe and South Africa.
“In addition to accelerating Vodacom’s Internet of Things strategy, our investment in IoT.nxt brings a number of advantages to Vodacom’s existing IoT capability, including class-leading platform technology,” Joosub said.
“For example, this will allow us to better orchestrate the information obtained from sensors and edge devices as well as enable us to further scale our IoT business across multiple verticals as we move up the value-chain.”