Erricson set to acquire Wireless Edge WAN 5G solutions provider Cradlepoint

Erricson is set to acquire Wireless Edge WAN 4G and 5G solutions provider Cradlepoint. The acquisition sets Cradlepoint's enterprise value of USD 1.1 Billion.

Founded in 2006, Boise, Idaho headquartered Cradlepoint provides wireless WAN 4G and 5G solutions and delivers enterprise-grade connectivity. Cradlepoint and Erricson collaborate since the 4G launch in the U.S. market, notes the announcement.

President and CEO Ericsson, Börje Ekholm, said, "Portfolio-near acquisitions are an integral part of our earlier communicated strategy. The acquisition of Cradlepoint complements our existing offerings and is key to our strategy of helping customers grow the value of their 5G network investments. Ericsson is uniquely positioned to build on Cradlepoint’s leadership position in Wireless Edge and the wireless WAN market. Combining the scale of our market access and established relationships with the world’s biggest mobile operators we are making a strong investment to support our customers to grow in this exciting market. I would like to extend a very warm welcome to all Cradlepoint employees."

CEO and Chairman, George Mulhern, Cradlepoint, said, "We have led the way in bringing the power of cellular networks and technologies to enterprise and public sector customers – helping them connect beyond the limits of traditional wired WANs. Ericsson with its global 5G leadership is a great match for us and I am very excited to continue to scale and expand our business together."

Cradlepoint will complement Ericsson’s 5G Enterprise portfolio including its Dedicated Networks and a global IoT platform.

Cradlepoint will operate under its own branch. It will be a fully owned subsidiary of Ericsson and will become part of Ericsson’s Business Area Technologies & New Businesses, notes the announcement.

The transaction is expected to close in Q4 2020.