Module maker Telit has continued its international push by signing a deal with Brazil’s CAS Tecnologia that will boost its presence in Latin America’s burgeoning M2M market.
The partnership will see Telit’s technology and services combined with CAS Tecnologia’s telemetry platforms and solutions.
CAS Tecnologia (Sao Paolo, Brazil) says collaboration with Telit (London, UK) will allow it to “modernize”.
“Telit produces their modules in Brazil, making it cost effective,” said Welson Jacometti, the president of CAS Tecnologia, in explaining the rationale for the partnership.
“Not only that, the modules produced here have some of the best capabilities and reliability for data communication.”
Telit welcomed the deal with what it described as “one of the most important names in the Brazilian metering market” and said that CAS Technologia’s products were “world-class”.
“We are confident that this segment has a lot of potential in Brazil and Latin America,” said Ricardo Buranello, the director of Telit Latin America.
According to Bloomberg New Energy Finance (BNEF), Brazilian utilities are likely to replace as many as 38 million meters by the end of the decade in what could amount to a $5 billion opportunity for smart-meter companies.
BNEF had previously estimated the revenue opportunity at $10 billion but downgraded its expectations after Brazilian authorities decided earlier this year not to mandate the rollout of smart meters by utilities.
Under revised rules, utilities will only have to install smart meters if customers request them.