New joint venture to address industrial IoT technologies
Canadian IoT firm ITT will hold a 51% stake in the new entity
Canadian company ITT, an internet of things (IoT) specialist, has signed a 30-year joint venture agreement with Chinese firm New Hope Data Technology, which provides data acquisition, monitoring, data analytics, professional services and knowledge transfer through the implementation of IoT technologies. The Chinese firm is involved in a wide range of sectors such as agriculture, real estate, infrastructure, chemical, engineering, finance and insurance.
The joint venture will be focused on bringing global industrial IoT solutions to New Hope-owned factories, as well as other manufacturing facilities across China and will be called New Hope IoT.
Under the terms of the JV, ITT will own 51% of the new entity and will be responsible for providing global industrial IoT technologies such as sensors, predictive analytics and secured wireless, among other technologies to New Hope’s network of more than 600 factories and businesses, in addition to other customers across mainland China.
New Hope will hold a 49% interest in the JV and its sales and marketing team, big data platform and IT consultants will be responsible for the JV day-to-day operations.
“We are very excited to be launching in China with such a strong joint venture partner in New Hope, who shares our vision and drive in building out the leading Chinese industrial IoT platform,” said Michael Frank, CEO of ITT. “This recurring annual revenue model in partnership with New Hope’s network of factories and businesses is expected to provide ITT with ongoing revenue and a profitable income stream,” he added.
“New Hope Data has already built out a robust data analytics platform and a professional services team that is currently working with factories in China to monitor and analyze industrial processes and inputs, converting them into actionable insights and knowledge. This helps the factories’ management teams improve operational stability, product quality, profitability and reduce downtime,” Zhao Gang, Chairman of New Hope Data Technology, said. “We see a significant market gap that can be filled with the products and services that the JV will be providing for our internal network of factories and external customers across China.”