Verizon to acquire IoT startup Sensity and aid smart city services

Verizon has signed an agreement to acquire Sunnyvale-based Sensity Systems to boost its ThingSpace internet of things (IoT) platform. The terms of the deal have not been disclosed by either of the companies but the agreement between both is said, will see the formation of a comprehensive suite of smart city solutions. Sensity that helps businesses and enterprises make a switch to connected LED systems from traditional lighting infrastructure, could position Verizon in doubling its IoT product lineup and help build smart communities. Challenges like public security and surveillance can also see some light.

What is ThingSpace?

ThingSpace, the web-based platform was in fact developed to fuel IoT development, according to Verizon. Posing as a path to a simplified IoT workspace for prototype through production, ThingSpace offers a consolidated portal with an access to application enablement platforms (AEPs), RESTful application programming interfaces (APIs), an API simulator, developer kits and further documentation to help build and test new IoT solutions. According to the carrier company, it has developed an array of connected-intelligent solutions including parking, lighting, traffic management and security that improve livability, resiliency and public safety for local communities. Verizon’s Smart Communities organization, which is a part of its IoT business, also claims at simplifying the deployment of IoT applications through ThingSpace. Hugh Martin, Chairman and CEO, Sensity, said, “Rapid urbanization is putting a huge strain on city services globally, coupled with inefficiencies caused by an aging infrastructure that currently supports critical functions, such as fire and emergency services, public transportation, lighting, sewer and sanitation systems.”

“Sensity realized early on that IoT could be the key to breaking out of this dilemma. We have become the leader in the space by creating a visionary smart city IoT platform and forming a powerful ecosystem of technology partners. With Verizon, we look forward to delivering IoT connected systems on a massive scale to change how cities and communities operate around the world, Martin added.

Sensity that is determined to set up a sensor-based, multiservice IoT platform via its Light Sensory Networks and solutions, already vouches 42 smart city installations across the globe to enhance parking control, asset management and location analytics. It also offers NetSense platform that aims to reduce energy costs for lighting owners and facilitate services like environmental or weather monitoring. Weil, Gotshal & Manges LLP acted as the legal advisor to Verizon, throughout the deal –which is expected to close in fourth-quarter 2016—while, Pagemill Partners were the financial advisor to Sensity and Fenwick & West LLP acted as the legal advisor. However the deal is subjected to customary closing conditions.

IoT Umbrella

In an effort to go beyond its basic communication services, Verizon recently has inked a lot of ‘buy’ deals. Earlier in August, it announced to acquire SaaS-based Fleetmatcis for $2.4 billion to expand into connected vehicle, Internet of Things (IoT), mobile workforce management and fleet management market. The company was later folded into Verizon Telematics, a subsidiary of Verizon. The transaction also complemented Verizon Telematic’s June buy of California-based, Telogis for an undisclosed amount. Apart from that, Verizon also led a slow death for Yahoo as an independent company, when it decided to acquire Yahoo for $4.83 billion. According to the deal, Verizon took over Yahoo’s operating business, digital media, and online advertising business. Mike Lanman, senior vice president, Enterprise Products and IoT, Verizon, stated:

“Sensity is a leading provider of IoT solutions for smart communities with a strong ecosystem of partners, and this transaction will accelerate the deployment of large-scale implementations that will drive the digital transformation of cities, universities and venues. Verizon is uniquely positioned through its infrastructure investments at the network, platform and application levels to provide holistic solutions that empower communities to address their most pervasive challenges.”