Deutsche Telekom has announced plans to spin-off its IoT business to strengthen the firm’s presence in the growing IoT market. The new company, dubbed Deutsche Telekom IoT GmbH, will officially launch operations on July 1, 2020.
In a statement, the German company noted that competitors in the IoT environment are particularly agile and have lean decision-making structures. “The independent company is intended to strengthen Deutsche Telekom’s position in this growth market,” the telco said.
“As an independent company, we are more agile and can better address the fast-moving IoT market”, said Rami Avidan, CEO of Deutsche Telekom IoT GmbH. The newly founded DT IoT will have end-to-end responsibility for the entire IoT business at Deutsche Telekom.
“With the new ‘hub’ for IoT we are exploiting the full potential of the Internet of Things,” Avidan added. “The amalgamation of all IoT solutions into one framework provides a business environment that is unique to date. With this, Deutsche Telekom is establishing the world’s first open IoT network and expanding its role from IoT player to IoT orchestrator.”
The company said it aims to launch its new IoT hub during the second half of 2020. Deutsche Telekom invited partners and customers to test the new IoT environment.
With a unique IoT platform, the company aims to brings all players together, including developers, operators, partners and suppliers.
The telco had launched a nationwide IoT networks targeting several industries in June last year. The company said it expected to reach nationwide coverage with this new IoT network by end-2019.
Deutsche Telekom is already proving 5G coverage to 16 million people in over 1,000 towns across Germany, the carrier said in a release.
By mid-July, a total of 40 million people throughout Germany will be reached by the operator’s 5G network, Deutsche Telekom said.
Deutsche Telekom previously said expects to deploy 5G technology in 14 large cities this year to reach its goal of rolling out this technology in at least 20 of the largest German cities by the end of 2020.
In a conference call with investors, the carrier’s CEO Timotheus Höttges said Deutsche Telekom aims to cover half of the country with 5G during this year.
