REDWOOD CITY, Calif.--(BUSINESS WIRE)--Please replace the release issued July 26, 2017 at 11:00 a.m. ET with the following corrected version due to multiple revisions.
The corrected release reads:
PRODEA ACQUIRES ARRAYENT
The leading consumer IoT platform for brand manufacturers and the leading IoT services company for global operators combine to form the first carrier-grade IoT services platform.
Prodea Systems, Inc. announced today that it has acquired Arrayent Inc., forming the world’s first carrier-grade IoT services platform. The combined company delivers a proven suite of managed IoT services with unprecedented scale, speed, and reliability.
The two companies, which have been at the forefront of innovation in enterprise and consumer IoT, will combine teams and technologies to create an end-to-end solution that is ideal for data-intensive industries that need real-time performance monitoring, data intelligence and predictive analytics. This comprehensive offering will deepen user engagement, create new revenue streams, differentiate products or services, and improve business efficiency, enabling both digital and business model transformation across each IoT vertical market—from consumer goods and healthcare, to smart cities, utilities and governments.
Major institutional shareholders after the acquisition include DCM Ventures, Fortress Investment Group, Intel Capital, and Mubadala Investment Company with over $200 million in capital invested to date. Terms of the acquisition were not disclosed.
With 70+ consumer products connected and managed across 82 countries and five continents, Silicon Valley-based Arrayent is the leading IoT platform chosen by global manufacturers of trusted mass-market brands. Having managed over 1.5 million connected consumer products including major appliances, residential lighting, home access systems, HVAC/water controls and small electrics, Arrayent is a strategic acquisition that positions Prodea to tap into the $5 trillion opportunity projected for IoT solutions by 2021.*
Based in Richardson, TX, Prodea is the leading provider of carrier-grade IoT services being deployed by government agencies, healthcare providers, telcos and utilities in eight countries across four continents. Since 2006, Prodea has distinguished itself by developing the first framework for deploying end-to-end managed IoT services and creating a sophisticated portfolio of the IoT industry’s most fundamental patents. The company has led the market in deploying its platform on a truly global scale, from the U.S. to India to South Africa.
“Just as we correctly predicted the evolution of communications networks by building the first globally deployed carrier-grade voice-over-IP platform, so too do we see a shift needed in the IoT industry,” said Dr. Anousheh Ansari, CEO and co-founder of Prodea Systems. “The IoT industry today is focused on connecting billions of devices and users, but it must evolve to enable meaningful services that drive business transformation and end-user value. Our combined companies have built two of the most innovative IoT platforms. By combining, we are poised to bring this vision to life and accelerate IoT deployments across different industries. In short, we are facilitating the evolution of the ‘Internet of Things’ to the ‘Internet of Services.’”
“We are excited about the end-to-end services and one-stop offering the combined company lets us bring to new and existing customers,” said Cyril Brignone, former CEO of Arrayent and new Chief Revenue Officer of Prodea. “With Arrayent’s leadership in consumer IoT and Prodea’s extensive and proven experience in smart city, surveillance, energy management, digital health, and Industry 4.0, together we provide an unparalleled offering with significant growth opportunity across key new markets.”
“IoT is one of the exponential technologies that will transform many industries and Prodea is now positioned to lead it past just connecting things,” said Dr. Peter H. Diamandis M.D., Prodea advisory board member, co-founder of Singularity University, and founder of the X-Prize foundation. “Prodea will be a major force in leading the IoT industry to the next chapter of its evolution.”
“Since its inception, Arrayent has been known for enabling leading manufacturers to deliver innovative consumer solutions,” said Jason Krikorian, Arrayent board member, General Partner of DCM Ventures and co-founder of Sling Media. “The combining of Arrayent and Prodea is game-changing and poised to shift the industry’s fixation from connectivity of things to enabling engaging new connected services of real value to real users.”
The management team of Arrayent and Prodea expect a rapid and complementary integration of technology, processes, resources and teams. Both companies are committed to delivering ongoing, uninterrupted services to their customers.
Raymond James, Inc. acted as the financial adviser to Arrayent in this transaction.
ABOUT PRODEA SYSTEMS, INC.
Prodea Systems, Inc. is a privately held company founded in 2006 to help move humanity forward by bridging the gap between people and technology. By creating the technology necessary to deliver managed applications and services at scale, Prodea is delivering seamless end-user experiences in smart city, digital entertainment, energy management, digital health, and Industry 4.0 markets. For more info, visit prodea.com.
ABOUT ARRAYENT INC.
Since 2005, trusted mass-market consumer brands have chosen Arrayent to get connected and get closer to consumers. Arrayent has helped leading consumer brands such as Whirlpool, Febreze Home™, Pentair, OSRAM Sylvania, Maytag Commercial Laundry®, LiftMaster, Schumacher, Salus, Braeburn, Chamberlain, and other manufacturers in the appliance, electrics, security, HVAC/water, and lighting markets to launch over 70+ products into 82 countries across five continents. Recognized by leading industry analysts as a ‘cool vendor,’ ‘innovator,’ and ‘vendor to watch,’ Arrayent was also named ‘2016 Consumer IoT Enabling Company of the Year.’ For more info, visit arrayent.com.