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Telenor Connexion – global spearhead within M2M communication

Telenor is strengthening its position in the rapidly growing market for machine to machine communication (M2M), and has established a new company with a global scope.

“The market for M2M solutions has grown dramatically in recent times. In order to meet the increased demand, we are now merging this activity into one company – Telenor Connexion – which can supply customers throughout the world, also outside Telenor’s existing footprint. This is one of Telenor’s defined focus areas with regard to growth through new services,” says Morten Karlsen Sørby, Executive Vice President and head of Telenor Nordic.

Telenor Connexion shall provide solutions and platforms for all of Telenor’s operations, in addition to supplying new customers in other countries in which Telenor has not been established. The aim is to position the company among the five leading M2M players on a global basis. Telenor already supplies M2M solutions to a number of customers in Sweden, Norway and Hungary. Customers include Volvo, Daimler and Securitas.

The analysis company Berg Insight estimates that there will be 52 million connected units in Europe alone by 2011, compared with 8.5 million at the end of 2006. Telenor Sweden has already been providing such solutions for more than 10 years, and Berg Insight has referred to Telenor Sweden as a world leading provider of M2M solutions today, with over 1 million active SIM cards. Telenor Connexion’s head office will be in Stockholm.

Arve Johansen is the chairman of the board in the new company. Johansen has been with Telenor for many years, and until recently was the Executive Vice President and head of Telenor’s Asian operations. Efforts are currently underway to recruit a managing director for the company.

What is M2M communication?
M2M communication (also known as connected objects or telematics) means that various machines or units are linked by means of communication technology, both wireless and fixed line-based.

There are a multitude of areas of application, and new ideas in this area are constantly emerging. Emergency warning systems in cars, tracking and control systems in the transport industry, electric meter reading and logistics, alarm and security services are some examples of areas where M2M communication is already in operation.