Telit Concludes Acquisition of NXP’s Automotive Telematics On-board unit Platform (“ATOP”) Business and Launches New OEM

  Telit Concludes Acquisition of NXP’s Automotive Telematics On-board unit
  Platform (“ATOP”) Business and Launches New OEM Automotive Business Unit

  Acquisition of the ATOP Business from Leading Global Semiconductor Company
          Concludes with the Creation of Telit Automotive Solutions

Business Wire

RALEIGH, N.C. -- April 2, 2014

Telit Wireless Solutions, a leading global vendor of high-quality
machine-to-machine (M2M) modules, value-added services and solutions, today
announced it has concluded the acquisition of the Automotive Telematics
On-board unit Platform (ATOP) business from Netherlands-based NXP
Semiconductors (Nasdaq:NXPI). ATOP is an automotive grade solution for vehicle
manufacturers to implement eCall or similar functionality from a single
compact and cost efficient package, delivering reduction in complexity and
minimized costs in vehicle designs, customer data as well as regulatory
compliance. The company at the same time launched Telit Automotive Solutions,
a new business unit which is to focus exclusively on the Automotive OEM and
Tier-one markets. The new organization will be headed up by industry veteran
and long-time Telit executive, Dominikus Hierl as its CEO.

With the acquisition concluded, the company will integrate the ATOP business
including sales, engineering and support staff into Telit Automotive
Solutions, expanding its market reach with solutions leveraging the expanded
engineering and sales expertise particularly in software-centric RFIs from
Automotive and Telematics OEMs. The company achieved automotive-critical
global ISO/TS16949 certification in July 2012 and maintains one of the
industry’s largest product portfolios for the automotive sector with
particular emphasis on advanced technologies such as LTE and HSPA+. Telit has
appointed Lars Reger, Head of Chip Development and General Manager for New
Business in NXP’s automotive business division as a non-executive director of
Telit on closing.

Industry analysts position automotive as the strongest growing segment for M2M
over the next few years. According to ABI Research’s report on the global m2m
module market published in May 2013, module shipments to automotive OEMs will
grow from 6 million units in 2013 to 30 million in 2018. Regulatory
initiatives like eCall in Europe, ERA GLONASS in Russia, DENATRAN 245 in
Brazil lend further credibility to the strength of the sector along with the
much publicized “connected car” trend which is likely to lead to 100%
penetration of the technology in the very near future.

“This acquisition will take the ATOP technology to the next level, by
embedding it in a sustainable ecosystem for innovative and high-quality
automotive solutions. We’re confident that our expertise will continue to grow
under Telit’s leadership in combination with continued cooperation from NXP,”
said Lars Reger. “NXP will stay highly involved in the future of ATOP by
becoming a shareholder in Telit and joining the company’s board.”

“The acquisition of ATOP is the catalyst for building a dedicated Automotive
business unit to better address Automotive opportunities and execute our
strategy to become the market leader in this segment,“ said Telit CEO Oozi
Cats. “The ATOP team is talented and enthusiastic to join Telit. Their
expertise will be leveraged by positioning their top managers in significant
roles within the new Telit Automotive organization.”

“Together with a significant customer base, ATOP brings additional expertise
in automotive platforms to compliment our already thriving automotive
business,“ said Dominikus Hierl, CEO of the new Telit Automotive Solutions.
“The multi-service capable platform provides support for a range of features
from its single package, including vehicle location & tracking, remote
starting and diagnostics as well as business applications like fleet
management.“

Contact:

Telit Wireless Solutions
Sara Brown
Global Marketing Project Director
919-699-7093
sara.brown@telit.com
 
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