Rochelle Park, New Jersey, USA – Orbcomm Inc., a global satellite data communications company specialising in M2M, has completed the acquisition of most of the assets of the GlobalTrak division of System Planning Corporation, and MobileNet Inc.
These acquisitions accelerate Orbcomm’s growth strategy of expanding its end-to-end solutions portfolio into key vertical markets and geographic regions.
GlobalTrak is an information services company that utilises networks, sensors and proprietary software platforms to provide near-real-time situational awareness and intelligence to improve logistics and security processes and operations on a global basis. GlobalTrak gives Orbcomm access to a customer base that includes military, international, government, and commercial customers as well as expanded reach in growing regions, such as the Middle East, Asia and South America. Combining GlobalTrak’s advanced products, including container and vehicle technology, with Orbcomm’s existing capabilities will create a suite of transportation-related product offerings across the expanded global distribution network.
A long-time Orbcomm value-added reseller, MobileNet is a provider of telematics solutions to the heavy equipment and rail support industries. The acquisition enables Orbcomm to offer MobileNet’s complete fleet management solution directly to Original Equipment Manufacturers, dealers and fleet owners. Leveraging MobileNet’s turn-key telematics platform will further enhance Orbcomm’s leadership position in services to the global heavy equipment sector by providing customers significant operating advantages, as well as savings in development costs and faster time to market, for implementing solutions in the field.
“The completion of the GlobalTrak and MobileNet acquisitions is a significant step forward in building our diverse portfolio of end-to-end solutions and enables Orbcomm to execute our long-term vision of expanding our integrated M2M services into new industrial and geographic markets,” said Marc Eisenberg, Orbcomm’s Chief Executive Officer. “Our combined strengths will allow us to broaden our product and service capabilities and leverage synergies across common distribution channels, while providing value-driven, high-performance solutions to our customers.”
According to a new study, ‘Satellite operators look to build vertical expertise to capitalise on the M2M opportunity’, published by Machina Research:
“Satellite players are increasingly recognising the need to target specific verticals where demand for M2M technologies is growing. Satellite has an obvious role to play in sectors such as transport, extractive (e.g. oil, gas and mining), agriculture, and construction where activity is often conducted in remote and isolated locations beyond the reach of terrestrial networks. Given this natural focus on particular sectors, providers of satellite services are well positioned to develop particular vertical expertise is those sectors, moving up the value chain and securing a greater proportion of the addressable revenue.
Strategies vary among satellite operators. Not all are going down the mergers and acquisition route. Others are targeting specific verticals with wholesale connectivity offerings, a more risk-averse approach. Orbcomm’s approach is a bold one, as in the short term it might position the satellite operator in direct competition with some of its wholesale customers. Ultimately, however, it provides the operator with a platform to provide end-to-end services and play in all areas of the value chain. In order to gain a foothold and ultimately succeed in the nascent M2M market, satellite players will need to develop such a verticalisation strategy.”
Orbcomm is a global satellite data communications company, specialising in Machine-to-Machine (M2M) communications and solutions. Its customers include Caterpillar Inc., Doosan Infracore America, Hitachi Construction Machinery, Hyundai Heavy Industries, Asset Intelligence (a division of I.D. Systems, Inc.), Komatsu Ltd., Manitowoc Crane Companies, Inc., and Volvo Construction Equipment among other industry leaders. By means of a global network of low-earth orbit (LEO) satellites and accompanying ground infrastructure, Orbcomm’s low-cost and reliable two-way data communication services track, monitor and control mobile and fixed assets in its core markets: commercial transportation; heavy equipment; industrial fixed assets; marine; and homeland security. Orbcomm based products are installed on trucks, containers, marine vessels, locomotives, backhoes, pipelines, oil wells, utility meters, storage tanks and other assets.
Orbcomm is an innovator and provider of tracking, monitoring and control services for the refrigerated transport market. Under its ReeferTrak®, GenTrak™, and CargoWatch™ brands, the company provides customers with the ability to proactively monitor, manage and remotely control their refrigerated transport assets. Additionally, Orbcomm provides Automatic Identification System (AIS) data services for vessel tracking and to improve maritime safety to government and commercial customers worldwide. Orbcomm is headquartered in Rochelle Park, New Jersey and has its network control centre in Dulles, Virginia.
