SoftBank to invest €473m in connected vehicle solutions firm Cubic Telecom
SoftBank Corp. and Cubic Telecom, a global leader in software-defined connected vehicle solutions, announced a definitive agreement wherein SoftBank will invest approximately 473 million EUR for a 51% stake in Cubic Telecom. This investment values Cubic Telecom at over 900 million EUR and establishes a strategic global partnership to innovate in connected vehicles and high-value Internet-of-Things (IoT) assets. The deal is set to complete in the first half of 2024, subject to regulatory approvals.
Cubic Telecom’s Impact in the Connected Vehicle Market
Dublin-based Cubic Telecom has positioned itself as a global connectivity solution provider in the automotive, transportation, and agriculture sectors. McKinsey & Company projects that by 2030, 95% of new vehicles will be connected, potentially adding significant value to the ecosystem. Cubic Telecom, with its Platform for Application & Connectivity Enablement (PACE), is at the forefront of this shift, enabling real-time monitoring, management, and updating of vehicles and devices globally.
Tech Giant SoftBank Secures Major Stake in Cubic Telecom, Shaping the Future of Connected Vehicles
Future Collaborations and Innovations Post-Investment
Post-investment, Barry Napier will continue as CEO and Board Member of Cubic Telecom. SoftBank’s Senior Vice President, Daichi Nozaki, and two other appointees will join Cubic Telecom’s Board, alongside existing shareholders like CARIAD (Volkswagen Group) and Qualcomm. This partnership aims to accelerate the development of new services, including satellite and stratospheric-based Non-Terrestrial Network (NTN) solutions for seamless connectivity in remote areas.
The Global Reach and Potential of the SoftBank-Cubic Partnership
The collaboration marks a significant expansion for SoftBank, particularly in IoT markets for connected cars and software-defined vehicles. Cubic Telecom, through this partnership, will gain access to SoftBank’s extensive customer base in Japan and Asia-Pacific, enhancing its market leadership. The synergy between SoftBank’s global IoT connectivity services and Cubic Telecom’s innovative platform is expected to generate new revenue opportunities and drive advancements in connected vehicle technologies.