Verizon said it will purchase Sensity Systems, a Sunnyvale, California-based privately held LED lighting company. The amount of the transaction was not disclosed but the deal is expected to close in fourth-quarter, according to Verizon.
Sensity’s Internet of Things (IoT) platform allows light owners to embed networking technology within new LED luminaries and deploy smart city applications for public safety, environmental and weather monitoring, parking management, and location analytics. The company currently has 42 smart city installations across the globe.
Verizon will integrate Sensity’s technology into its ThingSpace IoT platform.
This isn’t the first acquisition Verizon has made to strengthen its IoT business. In August, the carrier purchased Fleetmatics for $2.4 billion in cash, using its software-as-a-service (SaaS) platform for its telematics subsidiary. A large incentive of the deal was the acquisition of Fleetmatics’ 37,000 customers and its 737,000 subscribers.
According to a research note from Goldman Sachs, cellular IoT connections jumped 33 percent year-over-year in the second quarter. Although Verizon didn’t break out its IoT connections from its wholesale connections in the second quarter, the company did say its IoT revenue was $205 million in the second quarter, a year-over-year increase of about 25 percent.