Huawei shells out $25 million for Neul
Huawei is reported to have scooped up Neul, a UK company for $25 million to turn this facility into a centre of excellence for internet of things. DFJ Esprit and IQ Capital are expected to greatly benefit from this deal, according to the reports.
The two companies are reported to be working jointly on narrow band cellular loT for almost 9 months. Speaking about the deal, CEO Stan Boland of Neul said, “In January we explored the idea of Huawei investing in Neul and over time it seemed to make sense for an outright purchase,”
Neul is a Cambridge-based company and among the better ones for Research and Development in UK that offers end-to-end solutions, chipsets, cloud management systems and base stations. The acquisition is expected to benefit Huawei immensely part for the company’s ground-breaking innovative technologies in loT. The coming together is believed to help the acquirer to expand and provide new services to customers.
The deal is seen as a major coup for the Chinese company at a competent price. Potentially, Huawei will not get access to futuristic technologies which it needs to compete in a market that is soon to get overcrowded. The loT technology is considered as critical as it enables small slices of spectrum and further is scalable.