LONDON (Alliance News) - Telit Communications PLC said Monday it has formed a new business unit as part of its strategy to expand its internet-of-things services and increase its recurring revenue opportunities.
The new unit will be called IoT Factory Solutions, and will be part of the company's IoT Services division.
The internet-of-things refers to a network of physical objects, such as refrigerators and cars, or factory equipment, that are connected through embedded electronics, software and sensors.
"We are looking to leverage our existing assets and industry expertise to exploit the growing demand for IoT in the manufacturing and factory markets, known as Industrial IoT," said President and Finance Director Yosi Fait in a statement.
"This is a potentially very valuable market. We expect this business to make a significant contribution to group revenues and profitability within four to five years," Fait added.
Shares in Telit Communications were down 5.9% at 183.62 pence Monday morning.
By Hana Stewart-Smith; hanassmith@alliancenews.com; @HanaSSAllNews
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