Inventory-tracking firm Zebra Technologies has announced plans to buy Motorola Solutions' Enterprise business for $3.45bn.
Motorola's Enterprise unit also produces inventory-tracking technology, as well as data-capture and mobile-computing solutions.
Zebra Technologies said the purchase will be used to expand its Internet of Things drive and help customers be smarter about themselves, their assets and their workforce.
Phil Gerskovich, senior vice president for New Growth Platforms at Zebra, said: "We're closely following this Internet of Things trend. We believe businesses want to know what assets they have in their organisation, also where they are, and what their condition is, like whether they are too hot or too cold, and to be able to follow these details from the manufacturing stage, to when they are shipped, all the way to when they are retailed.
"Motorola has several key products that will help us provide this service to businesses. They have ruggedised smartphones that will run enterprise cloud-based applications. These devices have integrated barcode and RFID [radio frequency identification] scanning, which allows them to sense what is happening to assets. Traditionally we have always been on the other side of this, supplying the barcodes."
The acquisition is expected to be completed by the end of this year, at which point approximately 4,500 Motorola employees are expected to join Zebra Technologies.
Motorola Solutions will keep hold of its mobile telecommunications technology, known technically as the Integrated Digital Enhanced Network (iDEN), which was part of its Enterprise business.
The decision to sell off the Enterprise business was made to increase focus on its government solutions, according to Greg Brown, Motorola Solutions CEO.
"Last year, we undertook a thorough review of our strategy and concluded that the synergies between our Government and Enterprise businesses were not as great as the value we could create by being singularly focused on our core Government & Public Safety business," Brown said.
"Going forward, we will have absolute clarity of purpose and mission as we serve customers globally with our suite of mission-critical communications solutions."
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