Recent M&A in the Telecom Industry : Industrial Wireless Networks

Abstract: The development of more powerful wireless communication technologies such as 5G and Wi-Fi 6 are opening possibilities for advanced applications in industrial settings. Different types of players across the value chain are entering the market and engaging in mergers and acquisitions. The thesis explores the types of acquisitions which have occurred recently in the industrial wireless industry, as well as the reasons for the respective acquisitions. In addition, technology competition in terms of choice of type of network was researched. The aim was to understand the industrial development in the industry and gain insight into M&A activity. To meet the research aim, a qualitative multiple case study was conducted. Data were collected through articles on 27 recent mergers and acquisitions in the targeted industry, as well as though 5 interviews with different stakeholders. The data collected were then analyzed inductively and deductively through thematic analysis, and a framework for classifying acquisitions were developed. Different types of actors in the industry are engaging in different types of mergers and acquisitions. The study concludes that complementary strategic fit between the acquiring firm and the target firm was the most common. This suggests firms seek to combine different resources in order to respond the developments in the market. Moreover, vertical acquisition was the most common type of value chain integration, and technologies in terms of products were the most common resource acquired.