Qualcomm Technologies has agreed to buy Sequans Communications’ 4G internet of things (IoT) technologies in a $ 200 million all-cash deal. According to Qualcomm, the acquisition would strengthen its industrial IoT portfolio and digital transformation capabilities.
As per the agreement, Qualcomm will acquire long-term evolution for machines (LTE-M)/ narrowband IoT (NB-IoT) and LTE Cat 1bis products technology, marketed by Sequans as Monarch 2 and Calliope 2. Meanwhile, Sequans will license royalty-free to Qualcomm its complete patent portfolio and its Taurus 5G technology with the rights to develop, manufacture and sell Qualcomm products based on this technology.
As per the regulatory filing, the transaction is expected to close by mid-October 2024, subject to customary closing conditions, French regulatory approval and acceptance of employment offers by certain key employees and at least 90 per cent of the identified employees.
In addition, Sequans will retain full rights to continue to use the technology commercially, via a perpetual license agreement, supporting the company’s ability to expand its 4G business and develop its 5G portfolio.
