Zebra Technologies, a company that specializes in barcode and RFID (radio-frequency identification) technologies, is set to acquire Motorola’s Enterprise business in a $3.45 billion, all-cash transaction.
The acquisition is aimed at building Zebra’s global position in “asset intelligence for the connected age.”
“This acquisition will transform Zebra into a leading provider of solutions that deliver greater intelligence and insights into our customers’ enterprises and extended value chains,” statedaid Zebra CEO Anders Gustafsson. Motorola’s Enterprise business, he added, “positions Zebra as a leading technology innovator, with the accelerating convergence of mobility, data analytics and cloud computing.”
The purchase still requires the approval of both companies’ boards of directors, and is expected to be completed by the end of 2014.
Based in suburban Chicago, Zebra saw sales of $1 billion in 2013. It was founded in 1969 as Data Specialties Inc.
Motorola Enterprise had estimated sales of $2.5 billion in 2013.
The transaction is designed to enable Motorola to focus on its communications offerings for government and public safety.
“Our Enterprise business is an ideal fit for Zebra,” said Greg Brown, chairman and CEO of Motorola Solutions. “This transaction will enable us to further sharpen our strategic focus on providing mission-critical solutions for our government and public safety customers.”
Zebra, meanwhile, will gain around 4,500 new employees, a similar number of US and international patents and around 20,000 channel partners in 100-plus countries.
Among Zebra’s existing solutions are Zebra MotionWorks (http://www.zebra.com/us/en/solutions/location-solutions/sports-tracking.html), a player tracking system for sports organizations. Using tags on players, stadium readers, data hubs, analytics and stats broadcasting, the solution lets users capture “all the action of the game in real-time, converting it into usable player statistics.”