IoT compute specialist Lantronix is buying the enterprise IoT business of NetComm Wireless Pty, a subsidiary of DZS. The acquisition, for $6.5 million, supports Lantronix’s enterprise and smart city vertical markets, and expands its 5G capabilities.

By acquiring Necomm’s IoT portfolio, Lantronix aims to boost its connectivity solutions in areas such as critical infrastructure, asset monitoring and telecommunications.

According to Lantronix, Netcomm’s 4G and 5G technologies, which enable ultra-fast Ethernet-to-Cellular and Wi-Fi connectivity, are the key reason for the acquisition. Lantronix expects DSZ’s NetComm enterprise portfolio to generate between $6 million and $7 million in revenue during calendar year 2024.

“The strategic acquisition of Netcomm’s IoT portfolio strengthens our Compute and Connect offerings by providing our customers with leading-edge IoT solutions,” stated Saleel Awsare, president and CEO of Lantronix. “The acquisition expands our portfolio in Gateway, Routers and Modems, including the latest 5G products, which enhances our Edge Compute solutions. It also adds new blue-chip Enterprise customers for additional cross-selling opportunities and opens our products to target-rich unserved geographic markets, such as Australia and New Zealand.”